The Complete Guide to Connecticut Business Licenses
Connecticut does not issue a general business license — licensing is by industry. Sellers register for a sales and use tax permit, trade names are filed with the town clerk, and the Department of Consumer Protection licenses many businesses and trades. This guide explains each step for a new Connecticut business.
Step 1: Form the LLC
File a Certificate of Organization with the Secretary of the State for $120. Every LLC files an $80 annual report between January 1 and March 31. See the Connecticut LLC guide for every formation step.
Step 2: Sales and use tax permit
Register with the Department of Revenue Services on myconneCT. There is a one-time $100 fee to register to collect sales and use tax. The permit expires every two years and renews automatically at no cost while your account is in good standing. The rate is 6.35%.
Step 3: Trade name with the town clerk
If you operate under a name other than your legal name, file a trade name certificate with the town clerk where the business mainly operates — the fee is $20. New forms apply to filings from October 1, 2026.
Step 4: Industry licenses
The Department of Consumer Protection licenses many businesses and professions, and the Department of Public Health licenses health professions. Home improvement contractors register with DCP — $220 to apply and $220 to renew each year, with all registrations expiring March 31. New home builders need a separate registration.
Hiring staff
Employers register for withholding with the Department of Revenue Services and for unemployment insurance with the Connecticut Department of Labor through ReEmployCT.
Checklist
| Registration | Agency | Cost |
|---|---|---|
| Certificate of Organization | Secretary of the State | $120; $80 annual report |
| Sales and use tax permit | DRS (myconneCT) | $100 once; free renewal every 2 years |
| Trade name | Town clerk | $20 |
| Home improvement registration | Department of Consumer Protection | $220 a year |
Frequently Asked Questions
Does Connecticut require a business license?
Connecticut has no general business license; licensing is by industry. Sellers need a sales and use tax permit, and DCP licenses many businesses and trades.
How much is a Connecticut sales tax permit?
There is a one-time $100 registration fee. The permit expires every two years and renews automatically at no cost while your account is in good standing.
Where do I file a trade name in Connecticut?
With the town clerk where your business mainly operates; the fee is $20.
How much does it cost to form an LLC in Connecticut?
The Certificate of Organization costs $120, and the annual report is $80.
Do home improvement contractors need to register in Connecticut?
Yes. They register with the Department of Consumer Protection for $220, renewed every year by March 31.