Starting a Business in Illinios Checklist
Check business name availability with the Illinois Secretary of StateFirst, do a search to see if your business name is available: An Illinois corporation’s name must end with INC, Incorporated, Corporation or other variation of those words. An LLC formed in Illinois must have some variation of the ending LLC in its name. Illinois Secretary of StateCorporations Division |
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File paperwork to form my businessGet started by filing documents with the Secretary of the State to form your new business. To form a corporation, file Articles of Incorporation and pay the $150 filing fee plus $25 minimum franchise tax. To form an Illinois LLC, file articles of organization and pay the $500 fee. Normal processing takes 2-3 weeks. If you file online, you have to pay an extra $100 for expedited handling plus an online processing fee. Online filings are reviewed within 24 hours. You can also mail or fax your paperwork to the Secretary of the State. You’re required to list the following information in your filing: – Business name and address – Registered agent name and address – Purpose clause – Member/manager/director information – Organizer/incorporator name, address, and signature If you’d rather save yourself time and effort, you can incorporate in Illinois with Northwest Registered Agent. Online filings:LLCs – http://www.ilsos.gov/llcarticles/index.jsp Illinois Corporations DivisionCorporations Division |
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Register with the Department of RevenueThe next step is to register with the IL Department of Revenue online or by mailing the registration form. The form is available on the Department website or by contacting their office. If you mail your registration form, processing takes 6-8 weeks. The online registration only takes 1-2 days to be completed https://mytax.illinois.gov/_/#1 Income Tax:Corporate tax rate: 9.5% Sales Tax:State sales tax is 6.25% Withholding Tax:The Illinois Income Tax withholding rate is 5% Illinois Department of RevenueCentral Registration Division |
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Get a business licenseThe Illinois Department of Financial & Professional Regulation provides licensing services on their website: http://www.idfpr.com/ Any other registration requirements?Check with the city and county where you do business to see if they have local licensing requirements. We give you some examples and contacts for local licensing. Cook CountyBusinesses in unincorporated Cook County need to have a general business license from the Cook County Department of Revenue. You have to register online at https://revenue.cookcountyil.gov/gbl/registration.aspx but you can choose to pay the fee online, in person, or by mail. City of ChicagoThe Chicago Department of Business Affairs and Consumer Protection (BACP) issues business licenses in the City of Chicago. You can apply for a license online at: DuPage CountyThere is no DuPage County business license, but some businesses require certain permits. You should also check with the city where your business is located. City of WheatonYou can download the Wheaton business license application online at http://www.wheaton.il.us/business/default.aspx?id=52. Mail your application to the PO Box for the City Finance Department. Local Licensing Contact InfoCook CountyCook County Department of Revenue City of ChicagoBusiness Affairs and Consumer Protection DuPage CountyDuPage County Clerk City of WheatonFinance department |
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Collect and Charge Sales TaxDo I need to collect Illinois sales tax?Illinois sales tax is imposed on your business’s receipts from sales of tangible personal property. What is the Illinois sales tax rate?State sales tax is 6.25% plus any local taxes. How do I register for Illinois sales tax?You can register with the IL Department of Revenue online at https://mytax.illinois.gov/_/#1 or you can mail in the registration form. The application form is available on the Department website or by contacting their office. How much does the Illinois sales tax permit cost?No fee Central Registration Division Central Registration Division |
