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Mississippi · How-To Guide

How do I get a business license?

Mississippi Secretary of State (entity formation) / Mississippi Department of Revenue - MDOR (tax registration) / City or County for local licenses
Step by Step

How to do it

  1. Determine your business structure: sole proprietor, LLC, corporation, partnership
  2. Register your business entity with the Mississippi Secretary of State (for LLCs and corporations) - file online at sos.ms.gov/Business-Services; Mississippi offers online filing through its Business Services portal
  3. Obtain an EIN (Employer Identification Number) from the IRS at irs.gov if forming an entity, hiring employees, or operating as a partnership
  4. Register with the Mississippi Department of Revenue (MDOR) for applicable state taxes through the TAP (Taxpayer Access Point) portal at tap.dor.ms.gov:
  5. - Sales Tax Permit (if selling taxable goods/services in Mississippi)
  6. - Withholding Tax (if you have employees)
  7. - Other applicable Mississippi taxes
  8. Obtain a PRIVILEGE LICENSE (Mississippi's equivalent of a business license): some municipalities and counties require annual privilege licenses for businesses operating within their limits; fee typically based on gross receipts or a flat fee; contact your city or county
  9. Check for industry-specific state licenses: contractors (Mississippi State Board of Contractors - msboc.us), health professionals, real estate, cosmetologists, engineers through the relevant state licensing board; general contractors need state licensure for projects over $50,000
  10. Renew entity annual report with Secretary of State; renew local privilege licenses annually; renew state professional licenses per board schedule
Details

What you need to know

Required Docs
  • Business name and type of activity
  • Mississippi business address and registered agent
  • Entity formation documents if LLC or corporation
  • EIN or Social Security number
  • Industry-specific certifications if applicable
Fee
LLC formation: $50 online (one of the lower fees nationally); corporation: $50 online; annual report: $0 (Mississippi does NOT charge for annual reports - free); Sales Tax Permit: free; local privilege license: varies by city/county (typically based on gross receipts or flat fee) RENEWAL: Annual report filed free by April 15 each year; local license: annual; professional licenses: per board schedule ONLINE OPTION: Yes - sos.ms.gov/Business-Services (entity formation and annual reports); tap.dor.ms.gov (tax registration); msboc.us (contractor licensing) WHERE TO GO: Mississippi Secretary of State (entity); MDOR (tax); City/County offices (privilege license); relevant licensing board (professional licenses)
Online Option
Yes - sos.ms.gov/Business-Services (entity formation and annual reports); tap.dor.ms.gov (tax registration); msboc.us (contractor licensing)
Where to Go
Mississippi Secretary of State (entity); MDOR (tax); City/County offices (privilege license); relevant licensing board (professional licenses)
County-specific variations apply

Mississippi cities and counties independently administer local privilege licenses. Jackson (Hinds County), Gulfport and Biloxi (Harrison County), Southaven (DeSoto County), Hattiesburg (Forrest County), and other cities have their own licensing requirements. Rural county areas may have minimal local licensing requirements. Verify with your specific city before operating.

Mississippi Notes

Important state-specific details

  • Mississippi LLC formation: $50 - low nationally.
  • Annual report: FREE - Mississippi does not charge for annual reports (very unusual nationally).
  • Mississippi STATE CONTRACTOR LICENSE: required for construction projects over $50,000 (residential or commercial); apply through Mississippi State Board of Contractors - msboc.us | (601) 354-6161.
  • Mississippi sales tax: 7% state rate; no local sales tax; food for home consumption taxed at 7% in Mississippi (unlike many states that exempt food).
  • PRIVILEGE LICENSE: Mississippi's local business license equivalent; issued by cities and counties; may be required in addition to state business registration.
  • Mississippi income tax: graduated for individuals; flat 5% corporate rate (being phased down).
Official Source

State office contact

State Office
Mississippi Secretary of State, Business Services - sos.ms.gov/Business-Services | (601) 359-1633; MDOR - dor.ms.gov | (601) 923-7700; Mississippi State Board of Contractors - msboc.us | (601) 354-6161