Iowa Corporation

You can get an EIN directly from the IRS. The application is free, and most businesses can apply online. However, if you don’t have a social security number, you’ll need to submit a paper application form. Can’t bear to fill out yet another application? Hire Northwest to get your EIN for you. Just add on EIN service during checkout when you sign up for our incorporation service.

Corporate bylaws cover basic policies and procedures for issues such as company finances and management. Bylaws should cover a range of topics, answering key questions like those below:

• Meetings: When and where will meetings for shareholders and directors be held? How many attendees are required to transact business? What are the procedures for voting or proxy voting? How do you call a special meeting? What actions can be taken without a meeting?

• Stock: How are stock certificates issued and transferred? How is voting affected by issues such as corporate stock owners or fractional shares?

• Directors and officers: How many directors must there be? Which officer positions are required? What powers do they have? How do you fill a vacancy or remove a director or officer?

• Finances: What are the procedures for retaining profits, issuing dividends, and paying bills? Who can withdraw money from the corporate bank account or sign checks?

• Records: Where is the corporate book to be kept? What information will be maintained? How are requests for review or access honored? Can records or copies be kept or distributed digitally?

• Amendments and emergencies: Who can amend bylaws and how? Can emergency bylaws be adopted in the case of disaster?

Iowa bylaws can make other provisions as well, assuming additions are in accordance with state law. For example, IA Code § 490.1602 (2019) states that the bylaws of a corporation cannot abolish the right of a shareholder to inspect corporate records in good faith and reasonable purpose.

Creating bylaws can be overwhelming—where do you start? Northwest can help. We give you free corporate bylaws when you hire us to form your Iowa corporation. We know what kinds of topics and questions corporations need to address, and we’ve spent years refining and improving our forms. We offer many other free corporate forms as well, including templates for resolutions and meeting minutes.

There is a $60 fee to file your biennial report online or by mail.

The filing is due before April 1st on even-numbered years. You don’t have to file the Iowa Biennial Report until after the first year your corporation was formed. So a business incorporated in 2020 or 2021 will have to file a biennial report in 2022, but one incorporated in 2022 can wait to file until 2024.

As Iowa reports are due every other year, these filings can be easy to forget—which is why we send our clients automatic reminders. Or better yet, let us file for you. With our business renewal service, we can complete and submit your biennial report for you for $100 plus the state fee.

Iowa corporations are required to pay a corporate net income tax every year. Corporations making up to $100,000 are taxed at 5.5%. Those making between $100,000 and $250,000 have a 9% tax rate. Corporations whose net income exceeds $250,000 are subject to a rate of 9.8%.

The Iowa sales tax is 6%. City, county and specialty sales taxes can be tacked on as well, making the average total sales tax 6.918%.

While corporations are not uniformly required to register for business taxes, any corporation selling tangible personal property, services or products need to register for the sake of holding a permit. In addition, any corporation with employees will need to register as a withholding agent. In either case, your corporation must register with the Iowa Department of Revenue. You can register online via the Department of Revenue or by filing an Iowa Business Tax Permit Registration (78-005) form. You’ll need your EIN before you can register.

The Iowa Secretary of State charges a $50 filing fee to submit your Articles of Incorporation.

Hire us for a one-time fee of $275, including the state filing fees, a year of registered agent service, a business address and more.

The fastest method is uploading your Articles of Incorporation through an Iowa Fast Track Filing account — you’ll get your approval within a day. If you choose to mail your articles, it will take anywhere from a few days to a few weeks to process.

There’s no general, statewide business license required in Iowa, but some cities and counties have local requirements. For example, Des Moines requires permits with a $570 fee for mobile food vendors, while a Waterloo pawnbroker needs to pay a $50 fee for a license to operate their business.

For some license applications you may need an EIN or a certified copy of your Articles of Incorporation. At Northwest, we can streamline the process and get these for you—simply add on these items during checkout.

A corporation formed outside of Iowa—but which conducts business in the state—is considered a foreign Iowa corporation. For example, if you incorporated in Minnesota but decide to open a storefront in Iowa, you would be a foreign Iowa corporation. This also means you would need to register with the state by filing an Application for Certificate of Authority with the Iowa Secretary of State. Foreign corporations are required to file the Iowa Biennial Report as well.

Absolutely! We’re happy to start a nonprofit corporation for you. The filing fee to start an Iowa nonprofit is $20. Iowa nonprofits must file a Biennial Report every other year, but the state does not charge a fee for that filing.

It’s a conundrum: you need a local number to display on your website and give to customers, but you don’t want to make your personal number quite so…public. We get it. And we’ve got you covered with Northwest Phone Service. We can provide you with a virtual phone number in any state—plus unlimited call forwarding and tons of easy-to-use features. You can try Phone Service free for 60 days when you hire us to form your corporation, and maintaining service is just $9 monthly after that. No contract required.