There is no general business license required by Iowa, meaning that not every business must have a business license. However, some businesses are required to obtain a license depending on what they do and the industry they are in. One of the most common licenses required is a sales and use tax permit. The sales and use tax permit allows you to collect and pay the 6% state sales tax to the Department of Revenue.
Many professions also require a business license. The Iowa Professional Licensing Bureau manages the requirements for a multitude of professionals, including accountants, architects, real estate brokers and appraisal management companies.
If you sell certain products such as alcoholic beverages or tobacco products, you will need a special license to do so. And those who handle hazardous waste will need a special license because it is a highly regulated industry. If you are unsure whether you need a…