Starting a Business in Illinios Checklist

Check business name availability with the Illinois Secretary of State

First, do a search to see if your business name is available:
http://www.ilsos.gov/corporatellc/

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 State

Corporations Division
501 S. Second St., 3rd Fl.
Springfield, IL 62756
P: (217) 782-6961

File paperwork to form my business

Get 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
Corporations – http://www.ilsos.gov/corparticles/

Illinois Corporations Division

Corporations Division
501 S. Second St., 3rd Fl.
Springfield, IL 62756
P: (217) 782-6961

Register with the Department of Revenue

The 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%
Individual income tax rate: 5%

Sales Tax:

State sales tax is 6.25%
Illinois location specific tax rate finder: https://www.revenue.state.il.us/app/trii/index.html

Withholding Tax:

The Illinois Income Tax withholding rate is 5%

Illinois Department of Revenue

Central Registration Division
Illinois Department of Revenue
PO Box 19476
Springfield, IL 62794-9476
(800) 356-6302

Get a business license

The 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 County

Businesses 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 Chicago

The 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:
https://webapps.cityofchicago.org/LicenseApplicationWeb/pageflows/welcomePageFlow/WelcomePageFlowController.jpf

DuPage County

There 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 Wheaton

You 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 Info

Cook County

Cook County Department of Revenue
General Business License Unit
118 N. Clark Street, Room 1160
Chicago, IL 60602
P: (312) 603-6870

City of Chicago

Business Affairs and Consumer Protection
Business Licenses
121 N. LaSalle St., 8th Fl.,
Chicago, IL 60602
P: (312) 744-6249

DuPage County

DuPage County Clerk
Jack T. Knuepfer Admin Bldg
421 N. County Farm Road
P.O. Box 1028
Wheaton, IL 60187
P: (630) 407-6500

City of Wheaton

Finance department
303 W Wesley Street
PO Box 727
Wheaton, IL 60187-0727
P: (630) 260-2000

Collect and Charge Sales Tax

Do 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.
If you mail your registration form, processing takes 6-8 weeks. The online registration only takes 1-2 days to be completed

How much does the Illinois sales tax permit cost?

No fee

Central Registration Division

Central Registration Division
Illinois Department of Revenue
PO Box 19476
Springfield, IL 62794-9476
(217) 785-3707
www.revenue.state.il.us/businesses/taxinformation/sales/rot.htm