To get a business license in Utah, you register your business entity with the state Division of Corporations, get a federal EIN, and then apply for a municipal business license from the city or county where you’ll operate. Depending on what you do, you may also need a professional license, a sales tax license, and several employer registrations. Most owners can finish the core steps within a few weeks. The filing fee for a domestic LLC or corporation with the state is $59 as of fiscal year 2026.1State of Utah. Fiscal Year 2026 Fee Schedule Effective July 1, 2025
Step 1: Register Your Business Entity With the State
Before any license application, you need a legal entity. Utah’s Division of Corporations and Commercial Code handles filings for LLCs, corporations, partnerships, and other structures. A domestic LLC certificate of organization costs $59, and articles of incorporation for a domestic corporation also cost $59.1State of Utah. Fiscal Year 2026 Fee Schedule Effective July 1, 2025 Most filings are approved instantly through the online system, though some take two to four business days.2State of Utah. CORP Home
Every registered entity in Utah must designate a registered agent to accept legal documents and official government notices. The agent needs a physical street address in Utah; a P.O. box will not work.3Utah Legislature. Chapter 17 Model Registered Agents Act You can serve as your own agent, name someone else in the organization, or hire a commercial service. Whoever it is has to be reachable at that address during business hours.
If you’ll operate under a name that differs from your legal entity name, register a DBA (doing business as) with the Division. Sole proprietors and general partnerships also use a DBA to register their business name, and the filing can be done through the Division’s online portal.4State of Utah. CORP DBA
Step 2: Get a Federal Employer Identification Number
Almost every business structure other than a sole proprietorship with no employees needs a Federal Employer Identification Number from the IRS. LLCs, corporations, and partnerships all need one regardless of whether they have employees, and many sole proprietors get one anyway because banks and state agencies routinely ask for it.5Internal Revenue Service. Employer Identification Number The application is free at irs.gov and issues the number immediately.
Have your EIN before you start license applications. Nearly every state and local form asks for it, and you’ll also use it on tax returns and to open a business bank account.6Internal Revenue Service. Get an Employer Identification Number
Step 3: Apply for Your Municipal Business License
Utah law lets cities and counties license and regulate businesses within their borders, and virtually every municipality does.7Utah Legislature. Utah Code 10-1-203 – License Fees and Taxes You apply through the city where your business is physically located. If your address falls in an unincorporated area, the county handles the license instead.8Utah County Government. Business Licensing Procedures
Your application typically triggers a zoning review. Planners check that the activity is allowed at the address you listed. A machine shop in a residential zone would fail; a freelance graphic designer in a spare bedroom usually won’t. Most Utah cities distinguish between “minor” and “major” home occupations based on factors like customer traffic, signage, and outside employees. A minor home occupation with no employees and no customer visits often qualifies for a streamlined permit or a reduced fee, and Senate Bill 81 exempts certain low-impact home-based businesses from municipal license fees altogether.
Fees vary widely. In some smaller communities a basic license runs as low as $25, while commercial licenses in larger cities typically run from $80 to several hundred dollars. Many municipalities also charge a one-time setup fee on top of the annual license fee.9Kaysville, UT. Business License Information Some cities require a separate fire or safety inspection before issuing the license. Check your city’s business licensing page or call the clerk’s office for the current schedule.
Step 4: Add a Professional License if Your Occupation Requires One
Certain professions in Utah need a license from the Division of Professional Licensing (DOPL) under Utah Code Title 58. That covers contractors, physicians, nurses, accountants, real estate agents, cosmetologists, electricians, plumbers, and dozens of other occupations.10Justia Law. 2025 Utah Code Title 58 – Occupations and Professions Each profession has its own chapter setting out education, exam, and experience requirements.
Skipping this step carries real criminal risk. Practicing a DOPL-regulated profession without a license is a class A misdemeanor unless the specific chapter says otherwise, and that can mean up to 364 days in jail and a fine.11Utah Legislature. Part 5 Unlawful and Unprofessional Conduct – Utah Code 58-1-502 If you’re not sure whether your occupation is regulated, search the Division’s website by profession before you start operating.
Step 5: Get a Sales and Use Tax License if You Sell Taxable Goods or Services
If your business sells physical products, electronically transferred goods, or certain taxable services in Utah, you need a sales and use tax license from the Utah State Tax Commission. Taxable services include repair work, cleaning of personal property, and other categories listed on the Commission’s site.12Utah State Tax Commission. Sales and Use Tax FAQ The license is free and lets you collect sales tax from customers and remit it to the state.
Utah’s state sales tax rate is 4.85%, but combined rates with local taxes start at 6.35% and go higher depending on your city and county.13Utah State Tax Commission. Sales and Use Tax Rates Effective April 1, 2026 Charge the rate for the location where the sale occurs. One thing that surprises new owners: sales tax licenses are not transferable. If you buy an existing business, you have to apply for a new license and get a letter of good standing from the Tax Commission confirming the seller has no outstanding tax debts.12Utah State Tax Commission. Sales and Use Tax FAQ
Step 6: Handle Employer Registrations if You Hire
Hiring even one employee triggers several registrations beyond your basic business license. Missing them is where new Utah employers tend to get in trouble, because penalties come from multiple agencies at once.
Workers’ Compensation Insurance
With few exceptions, every Utah employer must carry workers’ compensation coverage for all employees under Utah Code 34A-2-201.14Utah Labor Commission. Employers’ Guide to Workers’ Compensation You can get coverage through a private carrier, through the Workers’ Compensation Fund of Utah, or through self-insurance if you qualify. Costs depend on industry classification, payroll size, and claims history.
State Unemployment Insurance
Register with the Department of Workforce Services for state unemployment insurance through the Department’s online business registration portal at jobs.utah.gov.15Utah Department of Workforce Services. Business Registration – Workforce Services You’ll get an SUI account number and start paying quarterly contributions on your taxable wages.
Federal Unemployment Tax
You owe Federal Unemployment Tax (FUTA) if you pay $1,500 or more in wages during any calendar quarter, or if you had at least one employee for any part of a day in 20 different weeks in a calendar year. The taxable wage base is the first $7,000 paid to each employee per year.16Employment & Training Administration. Unemployment Insurance Tax Topic
OSHA Recordkeeping
If your business has more than 10 employees at any point during a calendar year, you must maintain OSHA injury and illness records, including the OSHA 300 Log and 300A Annual Summary. Records must be kept for five years, and the annual summary must be posted in a visible location from February 1 through April 30 each year.17Occupational Safety and Health Administration. Detailed Guidance for OSHA’s Injury and Illness Recordkeeping Rule Businesses with 10 or fewer employees are generally exempt unless OSHA specifically asks.
The State’s Consolidated Registration Portal
Utah routes many state-level registrations through a single site at businessregistration.utah.gov.18Utah.gov. Utah Business Registration The portal shares your information with the Department of Commerce, the Tax Commission, and the Department of Workforce Services, so you can file your entity documents, apply for a sales tax license, and set up your employer tax accounts in one session.
Municipal licenses are handled separately. Each city or county has its own form and portal; some accept online submissions, others still require paper. Make sure the business name, address, and EIN match exactly across your state and local filings. Mismatches are one of the most common reasons applications get kicked back.
How Long the Process Takes
State entity filings through the Division of Corporations are often approved instantly for straightforward formations, and more complex filings take two to four business days.2State of Utah. CORP Home Sales tax license registration through the Tax Commission is similarly fast online.
Municipal licenses are the bottleneck. Expect two to four weeks for most cities, because the application usually needs a zoning review and possibly a fire or health inspection. Food service, childcare, and public assembly businesses can take even longer due to added inspection requirements. Once approved, display the license document at your place of business.
Keeping Your License Active
Every registered business entity in Utah must file an annual report with the Division of Corporations to stay in active status.19State of Utah. CORP Renewal Process If nothing has changed, renewal is straightforward: you confirm your existing information and pay the fee listed on the current schedule.1State of Utah. Fiscal Year 2026 Fee Schedule Effective July 1, 2025 Miss the annual report and your entity can be administratively dissolved, which means paying additional fees to reinstate before you can legally operate again.
Municipal licenses also renew annually, typically at a fee similar to the original. Many cities send a renewal notice, but it’s your responsibility to file on time regardless. Update the license if you move, change your business name, or add activities that weren’t on the original application. Operating outside the scope of your license creates the same legal exposure as having no license at all.
One federal item that used to trip up new owners no longer applies to most Utah businesses. Under revised 2025 rules, all domestically created entities are exempt from Corporate Transparency Act beneficial ownership information (BOI) filing. Only foreign entities registered to do business in the United States still have to file.20FinCEN.gov. Small Entity Compliance Guide If your business was formed in Utah, you can cross that one off.