Does New York have a state income tax?

Yes, New York has a personal income tax rate of 4%-10.9% and a corporate tax rate of 6.5%-7.25%.

Do I need an EIN to start a business in New York?

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 New York

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

New York typically processes business filings in 5-10 business days. Online filing is available through the Division of Corporations.

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

$200

LLC Filing Fee

$125

Corp Filing Fee

4%-10.9%

Income Tax

5-10

Days to File

Steps to Start a Business in New York

Choose Your Business Structure

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

Choose a Business Name

Your business name must be unique in New York. Search the Division of Corporations database to check availability. For LLCs, the name must include 'LLC' or 'Limited Liability Company.'

Appoint a Registered Agent

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

File with the Division of Corporations

File your Articles of Organization (LLC) or Articles of Incorporation (Corp) with the New York Division of Corporations. Filing fee: $200 for LLC, $125 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.

Publish Formation Notice

New York requires new LLCs to publish a notice of formation in designated newspapers. Check with the county clerk for approved publications.

Business Entity Types in New York

LLC

Corporation

Corporation (C-Corp)

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

New York filing fee: $125

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 New York

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 →

New York Business Taxes

Corporate Tax Rate	6.5%-7.25%
Personal Income Tax	4%-10.9%
Annual Report Fee	$9
Note	LLCs must publish formation notice in 2 newspapers for 6 consecutive weeks. Publication cost: $500-$2,000+ depending on county.

Official New York Resources

🏛️

Division of Corporations

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 New York?

Filing an LLC in New York costs $200 with the Division of Corporations. You'll also pay $9 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 New York?

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

Do I need a registered agent in New York?

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

Should I form an LLC or Corporation in New York?

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 New York, an LLC costs $200 to file vs $125 for a Corporation.

Does New York require a publication notice?

Yes. New York requires new LLCs to publish a notice of formation in designated newspapers. The cost and duration vary by county — check with your county clerk's office for approved publications and requirements.

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

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