The following offers are available to you as a client of our law firm:

After starting a new LLC or corporation, there are a few tax and registration options you may want to consider. Most people do at least the first one.

1. Get a tax ID (EIN) for your new business

The first step after you start a new LLC or corporation is to get a tax ID (EIN) for your new business. If you want to open a bank account, you will need an Employer Identification Number (“EIN” or “tax ID”) for your business. Getting an EIN is free and taxes only a few minutes.

The IRS has simple instructions for obtaining a tax ID online, by phone (800-829-4933), and other methods.

2. Get a Minnesota state sales tax ID for your business

Many businesses do not need to get a state tax ID. However, if you will have employees or are required to charge sales tax for your sale of goods, you will need a sales tax. You can get a state tax ID from this page at the Minnesota Department of Revenue. Or visit the Minnesota Department of Revenue’s business page.

3. Elect to be taxed as an S corp

A Minnesota corporation or LLC may elect to be taxed as an S Corp. Simply file IRS Form 2553 and follow the instructions.

Reminder: Annual Renewal

As a reminder, LLC owners need to renew their business registration each year. You can renew online. It’s free, and it takes less than 60 seconds. Instructions: Minnesota LLC Annual Renewal.

Leave a Public Comment

  • Aaron D. Hall
    April 21, 2012, 3:38 pm

    Jeff:

    Whether an LLC, S Corp, or some other business type is best for your circumstances requires an analysis of your financial situation and business plans. If there were a perfect business type for all circumstances, that type would be widely known and posted online. However, the various business types have different characteristics, tax treatment, and legal rights for the owners. For this reason, a business attorney should analyze your situation to advise you regarding what is best for you.

    For example, numerous times I have met with business owners and saved them $5,000 to $10,000 annually (every single year) on taxes. This can usually be accomplished in a one-hour attorney meeting, which is at standard hourly rates.

    Aaron

  • Jeff
    April 21, 2012, 2:14 am

    My business partner and I are looking to start-up a new brewery and taproom, is it best to form an LLC? What is all required for a co-owner business? Also, if we haven’t found or leased a location, is it okay to use our home address?

    Jeff