Does Hawaii have a state income tax?

Yes, Hawaii has a personal income tax rate of 1.4%-11% and a corporate tax rate of 4.4%-6.4%.

Do I need an EIN to start a business in Hawaii?

Yes, most businesses need an EIN (Employer Identification Number). It's free from the IRS — apply online at IRS.gov and receive it immediately.

How to Start a Business in Hawaii

Q: How long does it take to form a business in Hawaii?

Hawaii typically processes business filings in 5-10 business days. Online filing is available through the Business Registration Division.

Everything you need to form an LLC or Corporation in Hawaii — filing fees, tax rates, and step-by-step instructions.

$50

LLC Filing Fee

$50

Corp Filing Fee

1.4%-11%

Income Tax

5-10

Days to File

Steps to Start a Business in Hawaii

Choose Your Business Structure

Decide between LLC, Corporation, S-Corp, Sole Proprietorship, or Partnership. LLCs are the most popular choice in Hawaii for their simplicity and liability protection.

Choose a Business Name

Your business name must be unique in Hawaii. Search the Business Registration Division database to check availability. For LLCs, the name must include 'LLC' or 'Limited Liability Company.'

Appoint a Registered Agent

Every Hawaii business needs a registered agent — a person or service with a physical address in Hawaii who receives legal documents on your behalf.

File with the Business Registration Division

File your Articles of Organization (LLC) or Articles of Incorporation (Corp) with the Hawaii Business Registration Division. Filing fee: $50 for LLC, $50 for Corp.

Get Your EIN

Apply for a free Employer Identification Number (EIN) from the IRS. Takes minutes online at IRS.gov. You'll need this for taxes, banking, and hiring.

Open a Business Bank Account

Separate your business and personal finances. You'll need your EIN, formation documents, and operating agreement. Holdings makes this easy with integrated banking.

Business Entity Types in Hawaii

LLC

Corporation

Corporation (C-Corp)

Businesses planning to raise venture capital, go public, or have complex ownership structures.

Hawaii filing fee: $50

S-Corp

S Corporation

Small businesses wanting to reduce self-employment tax while keeping pass-through taxation. Must meet IRS eligibility (≤100 shareholders, US citizens/residents only).

Sole Proprietorship

Solo freelancers and contractors. No state filing required but offers no liability protection.

Partnership

General Partnership

Two or more people starting a business together. Consider an LLC instead for liability protection.

Nonprofit

Nonprofit Corporation

Organizations with charitable, educational, or religious missions seeking 501(c)(3) tax-exempt status.

Getting an EIN in Hawaii

An Employer Identification Number (EIN) is a 9-digit number assigned by the IRS to identify your business for tax purposes.

Free

IRS Filing Cost

Instant

Online Application

9 Digits

EIN Format

Apply for EIN at IRS.gov →

Hawaii Business Taxes

Corporate Tax Rate	4.4%-6.4%
Personal Income Tax	1.4%-11%
Annual Report Fee	$15

Official Hawaii Resources

🏛️

Business Registration Division

File your business formation documents

📋

IRS EIN Application

Get your free EIN online instantly

Frequently Asked Questions

How much does it cost to start an LLC in Hawaii?

Filing an LLC in Hawaii costs $50 with the Business Registration Division. You'll also pay $15 annually for the annual report. Add $50–$300/year if you hire a registered agent service.

How long does it take to form a business in Hawaii?

Hawaii typically processes filings in 5-10 business days. Online filing is available and generally faster.

Do I need a registered agent in Hawaii?

Yes. Every business entity in Hawaii must have a registered agent — a person or service with a physical address in Hawaii who can receive legal and tax documents on your behalf. You can serve as your own registered agent if you have a Hawaii address.

Should I form an LLC or Corporation in Hawaii?

For most small businesses, an LLC is the better choice — simpler management, flexible taxation, and personal liability protection. Choose a Corporation if you plan to raise venture capital or go public. In Hawaii, an LLC costs $50 to file vs $50 for a Corporation.

Start a Business in Other States

Alabama LLC: $200 Alaska LLC: $250 Arizona LLC: $50 Arkansas LLC: $45 California LLC: $70 Colorado LLC: $50

View all 51 states →

Related Resources

NAICSFind Your NAICS Code for Registration GlossaryWhat Is an EIN? (Employer ID Number)GlossaryWhat Is a DBA?FeesCompare Business Bank Accounts

Starting a business in Hawaii?

Holdings gives you a business bank account, EIN assistance, and bookkeeping — all in one platform.

Get Started with Holdings →