Iowa Small Business Licenses
Identifying which Iowa small business licenses you'll need doesn't have to be a mystery or chore. With a bit of planning and utilization of local and state small business resources, researching license requirements and application processes can be done systematically and with little effort. Your Iowa business license needs will vary according to your business type and the town in which you'll be located, so thorough investigation will ensure license compliance.
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Business Taxes
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Iowa businesses are responsible for applying for two or more tax numbers. These numbers are technically permits but are usually required before applying for other licenses. On the federal level, an employer tax identification number from the IRS is required and is available for free on the IRS website. Iowa state tax registration is handled by the Iowa Department of Revenue, and the form allows for combination tax registrations to suit your business. Some Iowa towns also have a "local option tax" permit which requires businesses to collect and pay sales or other taxes to local government. Contacting your town hall will yield the necessary registration forms and information.
Iowa Professional Licenses
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Individuals conducting business in state-regulated professions must be licensed through the Iowa Professional Licensing Bureau or the Bureau of Professional Licensure division of the Iowa Department of Public Health. These licensees cover those involved in health care, education, finance, real estate and other fields. Most licenses require a fee, are renewed periodically and may require examinations and ongoing continuing education.
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Iowa Business Licenses
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Iowa business licenses differ from professional licenses in that they allow the business to legally provide regulated products and services. Companies engaged in automobile sales and service, landscaping and lawn care, restaurants and bars, tobacco and alcohol sales, health care, retail and other industries are required to obtain licenses to operate. Some businesses, such as hair salons, must obtain business licenses and also require their employees to hold professional licenses.
Local Business Licenses
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Iowa cities and towns may also mandate business licensing or permitting. These documents are usually obtained through the town or city hall, and are usually required for entertainment, gambling, health and safety inspections, vending machines, food handling, construction or renovation, locally regulated sales or services and other activities as defined by local government.
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References
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