- In Arkansas, business licenses (also called privilege license) are issued at the county or city level.
- Some cities and counties do not issue business licenses.
How to Get a Business License in Arkansas:
- If you plan to hire at least one employee, contact Internal Revenue Service to get an Employer ID Number (EIN), and to request your w-4, SS-4, Circular E and Publication 334 forms.
- If you plan to incorporate your business, contact the Arkansas Secretary of State’s office to register your business entity.
- Contact your local government to get information about zoning regulations and apply for your business license. If your business is located outside of the city limits, contact the county collector or clerk’s office.
Arkansas State Sales Tax:
- Arkansas has a state sales and use tax rate of 6%.
- Tax rate on sales of food and food ingredients is 3%.
- Some services are also taxed. See a complete list here.