A sole proprietorship is the simplest business form to register in Tennessee. To establish a sole proprietorship in Tennessee, you do not need to file any legal documents with the state. This simple and inexpensive business structure is the most common in the United States. To register your DBA in Tennessee, submit your Assumed Name application to the county clerk’s office and pay a filing fee. Sole proprietorships are subject to business and professional licensing requirements.
Hiring Employees and Tax Obligations
You can hire employees as a sole proprietor in Tennessee. This may require obtaining an EIN and complying with employment laws. As a sole proprietor in Tennessee, you must pay state and federal taxes on income. Keep records of finances for taxes. Retail, services, and trades are common.
Closing a Sole Proprietorship in Tennessee
In a sole proprietorship, the owner is personally liable for the business’s debts and obligations in Tennessee. To dissolve a Tennessee sole proprietorship, simply cease operations. There is no dissolution paperwork required.
Tax Obligations and Dissolution
To dissolve a Tennessee sole proprietorship, you simply cease operations. There is no dissolution paperwork required.
Licenses and Taxes
You may pay sales tax. Consider liability insurance to protect assets. Retail, services, and trades are common.
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Does Tennessee require a business license to be self-employed?