News

Secretary of State Barbara Cegavske Issues a Reminder Regarding State Business Licenses

Post Date:01/31/2018 5:24 PM

Secretary of State Banner

FOR IMMEDIATE RELEASE
Contact: Jennifer A. Russell
(775) 684-5793
sospio@sos.nv.gov

 

(Carson City, NV; January 31,2018) -  According to Nevada Revised Statutes 76.100, a person shall not conduct a business in this State unless and until the person obtains a State Business License issued by the Secretary of State.

A “business” means:

  • Any person that performs a service or engages in a trade for profit;
  • Any entity organized pursuant to Title 7 of Nevada Revised Statutes, including those required to file with the Secretary of State, whether or not the entity performs a service or engages in a business for profit.

This includes Sole Proprietors, Independent Contractors, Partnerships, Domestic Corporations, Foreign Corporations, Nonprofit Corporations, LLCs, LPs, LLPs, LLLPs, Business Trusts and Professional Entities and Associations.

The State Business License is $200 or $500, depending on the type of business, and is in addition to any other licensing requirements from other state and local jurisdictions.

Some individuals may claim exemption from the State Business License.  Exemptions are listed in Nevada Revised Statutes 76.020.  Any person who claims exemption must apply for a certificate of exemption issued by the Secretary of State.

Common misperceptions:

Perception - Foreign Corporations performing isolated transactions within 30 days don’t need to obtain a State Business License. 

Response - This is false.  Chapter 76 of Nevada Revised Statutes sets forth tests as to who is conducting business in Nevada for purpose of business licensing, and Chapter 80 addresses the slightly different “doing business” in Nevada, related to the need to qualify in Nevada and register the corporation.   The two tests differ in somewhat subtle ways and the circumstances of the business must be independently analyzed.

Perception – Obtaining the State Business License is a one-time action.

Response - This is false.  The State Business License must be obtained prior to conducting business and must be renewed on an annual basis.  A State Business License can be cancelled or terminated when an entity stops doing business or when an entity is dissolved.

Perception – Penalties and Fines don’t apply under certain circumstances.

Response – Mandated by statute, if a person fails to obtain or renew a State Business License, the person shall pay a penalty of $100.  Every person who conducts a business in this state and who willfully fails or neglects to obtain or renew a State Business License is subject to a fine of $1,000 - $10,000.  The Secretary of State may refer matters to a district attorney of the county in which the place of business is located or to the Attorney General to recover the fine.  There is no grace period.  Penalties and Fines are not waived.

How to obtain a State Business License:

To obtain or renew a State Business License online, visit www.nvsilverflume.gov

To obtain or renew a State Business License by mail, email or fax, visit www.nvsos.gov

To contact the Secretary of State’s office, call 775-684-5708 or email sosmail@sos.nv.gov.

 

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