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Indiana LLC · Step 7 of 8 · Verified June 2026

Indiana LLC Business Licenses — Step 7 of 8

Indiana has no general statewide business license — but if you sell taxable goods or services, you'll need a Registered Retail Merchant Certificate, and some industries and municipalities layer on their own requirements.

Ahmad AdilWritten & verified by Ahmad Adil, LLC School · Updated June 2026
IN BUSINESS LICENSES
Quick Answer

Indiana has no universal state business license. Check professional and local permits for the actual activity. Indiana’s general sales-tax rate is 7%, with no local sales-tax rate added. Indiana generally requires an RRMC for each sales-tax-collecting location, with a one-time $25 registration fee per location. The certificate is valid for two years and generally renews automatically when tax accounts are current. A remote seller exceeding $100,000 in Indiana gross revenue in the current or previous calendar year must review registration and collection obligations. Marketplace and other exceptions require their own analysis.

Step 7 — Fast Facts
General state license
None required
Sales tax rate
7% flat, statewide
Local sales tax
None
Retail Merchant Cert.
Required if selling
Groceries taxed?
Exempt
License resource
INBiz
Next step
Step 8 →

Indiana's Licensing Landscape

Indiana keeps its licensing footprint relatively light, with a handful of statewide requirements layered on local and industry-specific rules:

  • No general statewide business license — Indiana doesn't require every LLC to hold a basic statewide operating license.
  • Registered Retail Merchant Certificate — required if you sell taxable goods or services, obtained through the Indiana Department of Revenue.
  • Flat 7% sales tax, no local add-ons — unlike most states, Indiana doesn't allow cities or counties to layer additional sales tax on top of the state rate.
  • Industry-specific state licensing exists — professions like cosmetology, contracting, healthcare, and childcare have their own licensing boards separate from LLC formation.
  • Local licensing varies — very few Indiana municipalities impose general business licensing, though certain activities (like specific types of daycares in some counties) may need a local permit.

License Finder Checklist

Select what applies to your business, and we'll flag what to look into:

License Finder Checklist
Find what actually applies to your business
Which of these apply to your business?
I sell taxable goods or services (in-store or online)Physical products or taxable services delivered to Indiana customers
I have a physical storefront or locationWhere local zoning or permit rules might apply
I work in a regulated professionCosmetology, contracting, healthcare, childcare, etc.
I plan to hire employeesRequires state and federal payroll tax registration
None of these applyFully remote service business, no products, no regulated field

Getting Your Retail Merchant Certificate

  • Register through INBiz or the Indiana Department of Revenue — the Registered Retail Merchant Certificate functions as your sales tax permit.
  • Flat 7% rate statewide — no local sales taxes to track, since Indiana municipalities don't add their own rates on top.
  • Most groceries are exempt — along with newspapers, prescription medication, lottery tickets, and postage stamps.
  • Gasoline has a separate use tax — equivalent to the 7% sales tax rate, but collected differently at the pump.

No local sales tax is a genuine advantage in IndianaMost states require tracking different combined rates depending on the buyer's city and county. Indiana's flat 7% rate applies everywhere in the state — a real simplification if you sell to customers across multiple Indiana locations.

Ahmad Adil's Take: Indiana's licensing landscape is one of the simplest we've reviewed — no general state license, and a single flat sales tax rate with no local variation to track. If your business falls into a regulated profession or you plan to hire, that's where the real complexity lives, so start with INBiz's license research tool early to map out exactly what applies to you before you launch.
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RRMC Fee, Renewal and Remote Sales

Indiana generally requires an RRMC for each sales-tax-collecting location, with a one-time $25 registration fee per location. The certificate is valid for two years and generally renews automatically when tax accounts are current. A remote seller exceeding $100,000 in Indiana gross revenue in the current or previous calendar year must review registration and collection obligations. Marketplace and other exceptions require their own analysis.

Indiana DOR business registration guidance.

Frequently Asked Questions

Indiana Business Licenses — FAQ

Does Indiana require a general business license?
No. Indiana does not require a general state business license. Requirements vary by industry and municipality instead.
What is a Registered Retail Merchant Certificate?
Indiana generally requires an RRMC for each sales-tax-collecting location, with a one-time $25 registration fee per location. The certificate is valid for two years and generally renews automatically when tax accounts are current. A remote seller exceeding $100,000 in Indiana gross revenue in the current or previous calendar year must review registration and collection obligations. Marketplace and other exceptions require their own analysis.
What is Indiana's state sales tax rate?
A flat 7%, with no local sales taxes layered on top — the same rate applies statewide.
Are groceries taxed in Indiana?
Most groceries are exempt from Indiana's sales tax, along with newspapers, prescription medication, lottery tickets, and postage stamps.
How much does it cost to register for Indiana sales tax?
The RRMC registration fee is $25 per separate sales-tax-collecting location. The certificate lasts two years and generally renews automatically if the merchant is not delinquent in the covered tax obligations. Check current DOR instructions for the actual account.
Where do I check what licenses my Indiana business needs?
INBiz, the Indiana Secretary of State's business portal, offers a license research tool to help identify state, local, and industry-specific requirements.
Does Indiana have a local business license requirement?
Local and activity-specific requirements vary. Check the actual municipality and responsible professional or industry regulator; the absence of a universal statewide business license does not establish that no permit is needed.
Ahmad Adil, founder of LLC School
About the Author
Ahmad Adil

Ahmad Adil is the founder and CEO of LLC School. For filing and ongoing compliance, confirm the requirements with the responsible state agency. This is educational information, not legal or tax advice.

About Ahmad Adil → Indiana LLC Overview →
Up Next · Step 8 of 8
Understand Your LLC Taxes
Federal pass-through taxes plus Indiana's flat 2.95% state tax and county tax.
Step 8: LLC Taxes
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