How to Register a Trade Name in Massachusetts: A Step-by-Step Guide

To comply with state law, you must register your trade name if you intend to conduct business in Massachusetts. The name you use to market and advertise your firm is known as a trade name, commonly referred to as a DBA (doing business as). The Corporations Division of the Massachusetts Secretary of State is where you must register your trade name. This article will walk you through the process of registering a trade name in Massachusetts.

Selecting a name that accurately describes your company is the first step in establishing a trade name in Massachusetts. The name must be original and unclaimed by another Massachusetts company. The Massachusetts Secretary of State’s internet database can be used to determine whether a name is available.

File a Trade Name Certificate in Step 2

Once you’ve decided on a name, you need to submit a Trade Name Certificate to the Corporations Division of the Massachusetts Secretary of State. The certificate can be submitted online or by mail. Your business name, your name, your address, and a description of the type of business you are doing must all be included on the certificate.

Step 3: Submit the Fee

In Massachusetts, a Trade Name Certificate must be filed for $50. The cost can be paid online or by mail. You must enclose a check or money order made out to the Commonwealth of Massachusetts if you file by mail.

The fourth step is to renew your trade name certificate. In Massachusetts, your Trade Name Certificate is valid for five years. If you want to continue operating under your trade name, you must renew your certificate before it expires.

In Massachusetts, LLCs and S corporations are two common business structures. Both provide owners with limited liability protection, but their tax systems are different. S corporations are taxed like corporations, whereas LLCs are taxed like partnerships. The ideal business structure will depend on your unique requirements and objectives. How Much Taxes Do Businesses Pay in Massachusetts?

Businesses must pay an 8% corporate income tax in Massachusetts. Businesses must also pay an annual minimum excise tax of $456. The value of the company’s tangible assets in Massachusetts serves as the basis for the excise tax. How Much is Massachusetts’ Self-Employment Tax?

In Massachusetts, there is a 12.3% self-employment tax that self-employed people must pay. On income up to $142,800 for 2021, this tax consists of a 2.9% Medicare tax and a 9.4% Social Security tax. Do DBAs Have to Pay Taxes?

DBAs do not pay taxes because they are not independent legal organizations. Instead, the owner’s personal tax return is where the business’s income is recorded. On the company’s profits, the owner is required to pay income tax. In addition, the owner must pay self-employment tax on their net earnings if they are self-employed.