Opponents of the First Amendment rarely say they’re against it. They say things like “money isn’t speech,” by which they mean that your rights end when money changes hands. This would reduce freedom of speech to the freedom to stand on a soapbox and deliver an oration, provided you hadn’t paid for the soapbox.
Nonetheless, some states and localities won’t let you do any kind of business without government permission. This includes selling your writing. An article by Kylie Jane Wakefield gives some ugly details. Some governments demand money before they’ll give you permission to write for income, sometimes as much as $100 per year.
Some localities won’t let you operate any kind of business out of your home, even if it has no visibility from outside and no one ever comes to visit you on business.
Nolo gives some more details.
Many cities, counties, and municipalities require local business licenses, even for one-person, home-based operations. Usually, you can get this type of license simply by paying a fee. Some cities don’t impose any license requirements at all, or exempt very small businesses.
“Some” exempt very small businesses. That seems to say that in some places, you need a license if you’re making any money at all from writing. Some places exempt businesses below a certain level of income from license fees but still require you to ask for permission.
First Amendment-free zones
Isn’t it a violation of the First Amendment to require governmental permission to write for a living? Yes, unless you think that “[speech for which you receive] money isn’t speech.” Things which you have a right to do and things which you need permission to do are disjoint categories.
Prohibitions on all home-based businesses are especially onerous attacks on free speech. In areas with this prohibition, which Nolo says is found “especially in affluent communities,” you would need to rent an office to write. How many authors can afford that?
Permission to earn a living
Writers are just collateral damage in the efforts of governments to keep people from earning a living at what they do best. We have it easy compared to some people. Some occupational licensing requirements are truly outrageous, requiring expensive training that has nothing to do with the job.
It’s a good idea to know what the requirements are in your area. You also need to find out whether you can safely fly under the radar. Some places may require all businesses to have licenses but only enforce it if you have a publicly visible location or a neighbor complains. If you file a business return on your taxes, that increases the chances you’ll be noticed. Talk with other writers in your area to find out what they do. Be careful about asking government officials questions; you don’t want to attract notice unnecessarily. Some places have an implicit “don’t ask, don’t tell” policy, so you and the officials are happier if they don’t (officially) know about your business.
If you live in California, the best bet may be just to move out. That state’s crazy.