Primarily Alaska businesses operate as LLCs and corporations, and you can learn more about those entities below:
|Alaska LLCs||Alaska corporations|
All Alaska business entities are formed and regulated by the Alaska Division of Corporations.
To start a business in Alaska, you begin by forming the LLC or corporation by filing the formation documents with the Alaska Division of Corporations. Our team of professionals can prepare your paperwork for submission to the Alaska Secretary of State, and with our IncFast Filing Times™ you’ll know exactly by when your company will be formed.
All Alaska Corporations and LLCs Must File:
You can file this report online on the Alaska Division of Corporations’ website.
Personal Income Tax
One advantage to doing business in Alaska is the lack of personal income tax.
Alaska is the only state that doesn’t have an income tax or a sales tax. But many Alaska cities and municipalities have their own local sales tax. For example, Juneau has a 1.13% sales tax. Anchorage has none.
Corporate Income Tax
While there is no personal income tax, Alaska does levy a state corporate income tax on corporations, as follows
|Corporate Income||Alaska Corporate Tax Rate|
|$0 to $10,000||2 percent|
|$10k to $20k||3 percent|
|$20k to $30k||4 percent|
|$30k to $40k||5 percent|
|$40k to $50k||6 percent|
|$50k to $60k||7 percent|
|$60k to $70k||8 percent|
|$70k to $80k||9 percent|
|$80k to $90k||9.4 percent|
Businesses engaging in for-profit activities is required by the state to obtain an Alaska business license. The business license fee is $50 a year. To obtain an Alaska business license, you must complete the New Business License Application form. The Alaska business license application requires applicants to list only basic business contact information. Applicants can file their applications online.
Depending on the nature of your business, you could be required to obtain a professional license. You can find out if your business needs a professional license on the Alaska Department of Professional Licensing’s website.