An Ultimate Guide To Start an LLC In New Jersey
LLC registration in the state of New Jersey is fast, simple and affordable. It is a most popular business structure of the USA. It gives protection to members' personal assets.
All New Jersey LLCs are required to be filed with the New Jersey Department of treasury legally to conduct business and following is the requirement to form an LLC in New Jersey.
What is involved to register an LLC in New Jersey?
Determination of the LLC Name and its Registration in New Jersey
The first step towards starting an LLC involves registration or reservation the name you intend to use to advertise your business. Before start completing the Certificate of Formation, you should check the name availability with the Division of Commercial Recording, New Jersey Department of Treasury. You have a right to reserve the name to use in the future if you are not ready to incorporate an LLC in New Jersey.
Tips To Select Name For your Business Registration New Jersey
- Use a small name to remember and pronounce accurately.
- The name should reflect to your services or business you are offering.
- The name should be in English to understand. It is observed that some people use long and different language names, which is hard for people to remember and pronounce.
- The LLC name must contain a business designator LLC, L.L.C., Limited Liability Co., Limited Liability Company, LTD Liability Co. Or LTD Liability Company.
Provide the following information in the Certificate of Formation New Jersey
- Employer Identification Number
- NACIS Code to allocate the business category
- Duration of the LLC
- Effective date of the LLC
- Business purpose of the LLC
- Main business street address and PO Box is not acceptable
- Registered Agent information, including street address and the name. A registered agent can either be a person or a commercial entity is registered in New Jersey.
- Member(s) or Manager(s) of the LLC including name and address.
- Other additional provisions can be included in the articles.
- Make required fee to register LLC name
Timeline to File LLC in NJ
Usually It files instantly and you receive the Certificate of Formation in your Email.
Prepare NJ LLC Operating Agreement
Preparation of the operating agreement is not the requirement to establish an LLC in New Jersey, but we highly recommend to do it to guard the LLC member(s) responsibilities. It is a management duty to prepare it according to the business operation.
Mandatory Annual Report Filing of NJ LLC
The LLC must file an annual report every year to operate a business in New Jersey otherwise the state has a right to dissolve it involuntarily and someone else can use your LLC name without your consent.
Filing S corporation Elections for NJ LLC
You can also file an election with the Internal Revenue Service to treat your LLC as an S Corporation or a C Corporation for the tax purposes only.
Filing Taxes for a NJ LLC
- Single member LLC files taxes as a Sole Proprietorship on Form 1040.
- Multi-member LLC reports income and loss on form 1065 and issues K1 to all members of the LLC .
- LLC is a Pass-Through entity and member(s) of the LLC report income and loss on the income tax returns.
- LLC as an S Corporation report income and loss on form 1120S and issues K1 to members of the LLC.
- LLC treats as a Corporation file taxes in 1120 and it is not a pass-through entity. First pay taxes on the corporate level, then pull out the dividends and again pay taxes.
Can a Non US Resident register LLC in NJ?
A Non US resident can also register an LLC without having a social security number and apply ITIN along with the tax returns to file taxes as a Non US Resident. Submit form W7 to apply for a ITIN with the Internal Revenue Service.
New Jersey Sales Tax Certificate of Authority
Submit the application with the State of New Jersey Department of the Treasury to register for the sales and use tax permit to collect sales tax from the customers you are selling taxable products or providing taxable services.
Open A Bank Account for new NJ LLC
A business account must be maintained to record business activities.
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