In general, if your corporation has substantial, continuous contacts in DC, you likely need to register.
Tax Incentives and Breaks
Additionally, many states offer tax breaks or incentives for businesses and individuals who locate or invest in their jurisdiction. Therefore, it is possible that Washington, D.C. may offer tax breaks or be exempt from certain taxes, but this would need to be verified on a case-by-case basis.
How to Form an LLC in DC
How to form an LLC in District of Columbia (Step-by-step instructions) and overview of everything you need to get started in Washington DC.
- Search your LLC Name.
- Choose a DC Registered Agent. This individual or entity is responsible for receiving legal documents, tax notices, and other official communications on behalf of your LLC.
- File LLC Articles of Organization.
- Create an LLC Operating Agreement.
Registration for Foreign Corporations
Foreign corporations that want to conduct business within the District of Columbia are required to register with DC’s Department of Licensing & Consumer Protection (DLCP). At Washington DC Registered Agent LLC, we make registering foreign corporations easy!
Hiring a Registered Agent
In the following guide, we have shared all the required information regarding hiring a registered agent, why you need a registered agent in the District of Columbia, and who can be a registered agent for your LLC.
To exercise your right to vote and make your voice heard, you must first register to vote in D.C. Voter registration is available through the District of Columbia Department of Motor Vehicles (DMV), as well as by mail or in person. If you are applying by mail and this your first time registering in D.C. you are required to include a photocopy of your current proof of D.C. residency.
Registering Your Vehicle in DC
If you park or operate a vehicle in DC for 30 consecutive days, the vehicle must be registered and display valid DC DMV inspection sticker and tags. When you go to the DMV service center you will need:
- A valid DC driver’s license to register your vehicle.
- Proof of DC car insurance.
- Proof of vehicle ownership (e.g., bill of sale or signed vehicle title).
Under state law, new Washington residents have 30 days to register their vehicle with the state Department of Licensing (DOL) and pay the required taxes and fees. If you move to the District, have a valid registration from another jurisdiction, and do not qualify for reciprocity, you have 60 calendar days from the date you begin to live in DC to register your vehicle with DC DMV.
Business Registration Costs in DC
- The cost to register a DBA in Washington D.C.: $55 (renewed every two years).
- The main cost of forming an LLC: $220 fee to file your LLC’s Articles of Organization online with D.C. Department of Consumer and Regulatory Affairs.
- Certificate of occupancy processing time: approximately 30 days.
Sole proprietorships are best suited for DC small businesses with low risks and for individuals who want to maintain complete control without the complexities of establishing a separate legal entity.
A Limited Liability Company (LLC) is a business structure that combines features of both partnerships and corporations, offering liability protection to its owners while allowing flexibility in management and taxation.
Establishing Your Business in DC
Starting a business in DC is an exciting journey filled with opportunities and challenges. The District of Columbia SBRC is your one-stop-shop where help is provided to assist in starting, growing and strengthening businesses.
Regardless of what type of business structure you choose in DC, all must obtain a Certificate of Occupancy or a Home Occupation Permit as well as get a Basic Business License (BBL). Yes, you can operate a business from your home in DC, but you will need to obtain a Home Occupation Permit from the government.
Registering Your Business in Multiple States
Technically, you incorporate a business in a state, but can register to operate your business in other states by filing a foreign qualification. This allows you to register your business in states you plan on conducting business. States with economic sales tax nexus include Alabama, Connecticut, Georgia, Hawaii, Illinois, and Indiana.
Corporation Formation in DC
To start a corporation in DC, you must:
- Choose a business name.
- Select a registered agent.
- File articles with the Department of Consumer and Regulatory Affairs.
- Obtain licenses.
The cost to form a corporation in DC varies based on fees and taxes. Generally, expect to pay several hundred dollars in filing fees, plus taxes.
To register a corporation in DC, you must file a statement with the Division of Corporations, DC Department of Licensing and Consumer Protection (DLCP). Download the statement, complete, and submit to the state.