If you’re considering starting a business in Arizona, you might be unsure of where to begin. Obtaining a “doing business as” (DBA) name is a typical technique to launch a firm. A DBA, commonly referred to as a fictitious business name, enables you to conduct business under a name other than your given or legal name. What you need to know to form a DBA in Arizona is listed below. What Does LLC Qualify As?
Limited Liability Company is known as LLC. It is a sort of corporate structure that provides its owners, sometimes referred to as members, with personal liability protection. The income and losses of the company pass through to the members’ personal tax returns because LLCs are not regarded by the IRS as separate tax entities. Small business owners frequently choose LLCs because they are simple to set up and provide various management options. What exactly is an LLC Entity ID?
When you register an LLC with the Arizona Corporation Commission, a special identifier called an LLC entity ID is given to it. For tax and legal purposes, your business is identified by this number. When you submit your taxes, open a business bank account, and apply for specific licenses and permissions, you will be required to furnish your LLC entity ID.
LLCs must submit an annual report to the Arizona Corporation Commission in this state. Along with the name and address of the LLC’s statutory agent, this report also includes the members’ names and addresses. The name or entity ID of the LLC can be used to search for information on it on the Arizona Corporation Commission’s website. Do I Need a Statutory Agent in Arizona for an LLC?
Yes, a statutory agent is necessary for every LLC in Arizona. An individual or company designated to receive legal and tax documents on behalf of the LLC is known as a statutory agent. In order to receive crucial mail and legal notices, the statutory agent must have a physical address in Arizona and be accessible during regular business hours. You have two options for handling this duty: either you act as your own statutory agent or you engage a reputable registered agent service.
In summary, establishing a DBA in Arizona is a simple procedure. Understanding the numerous legal requirements and your options is crucial, though. Whether you choose to operate under a DBA or create an LLC, make sure you weigh your alternatives and consult with an accountant or attorney to make the best choice for your company.
The income and losses of an LLC are passed through to the individual members’ personal tax returns in Arizona since LLCs are taxed as pass-through businesses. The LLC does not have to pay taxes on its own earnings. However, the Arizona Corporation Commission charges a $50 yearly filing cost for LLCs. Additionally, depending on the goods or services they offer, some LLCs can be subject to the transaction privilege tax (TPT). To ensure compliance with all state and federal tax rules, it is crucial to speak with a tax expert.