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Question

I'm affiliated with a California corporation who will be hiring its first emplolyee in the state of Illinois. What forms need to be filled out for (1) authority to do business in that state, and (2) employee-related tax forms to set up in that state in order to pay the employee (i.e., UI tax number, franchise tax)? I want to be sure we file everything that's required and timely. Thank you.

Submitted: 18 days and 9 hours ago.
Category: Tax
Value: $40
Status: CLOSED
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Optional Information

State/Country relating to question: Illinois

Already Tried:
Secretary of State website in Illinois.

Posted by Robin D 18 days and 2 hours ago.

Answer

Hello XXXXXX, A foreign corporation, in order to obtain authority to transact business in Illinois, must execute and file in duplicate an application for authority to transact business and must also file a copy of its articles of incorporation and all amendments thereto, duly authenticated by the proper officer of the state or country wherein it is incorporated. The application must set forth: •1. The name of the corporation. •2. The date of its incorporation and the period of its duration. •3. The address, including street and number, or rural route number, of its principal office. •4. The address, including street and number, if any, of its proposed registered office in Illinois, and the name of its proposed registered agent in Illinois at such address. •5. The purpose or purposes for which it was organized which it proposes to pursue in the transaction of business in Illinois. •6. The names and addresses, including street and number, or rural route number, of its directors and officers. •7. A statement of the aggregate number of shares which it has authority to issue, itemized by classes, and series, if any, within a class. •8. A statement of the aggregate number of its issued shares itemized by classes, and series, if any, within a class. •9. A statement of the amount of paid-in capital of the corporation. •10. An estimate, expressed in dollars, of the value of all the property to be owned by it for the following year, wherever located, and an estimate of the value of the property to be located within Illinois during such year, and an estimate, expressed in dollars, of the gross amount of business which will be transacted by it during such year and an estimate of the gross amount thereof which will be transacted by it at or from places of business in Illinois during that year. •11. In the case of telegraph, telephone, cable, railroad, or pipe line corporations, the total length of such telephone, telegraph, cable, railroad, or pipe line and the length of the line located in Illinois, and the total value of such line and the value of such line in Illinois. •12. Any additional information as may be necessary or appropriate in order to enable the Secretary of State to determine whether such corporation is entitled to be granted authority to transact business in Illinois and to determine and assess the franchise taxes, fees, and charges payable. The application must be made on forms prescribed and furnished by the Secretary of State. Here is the url for the Form you will need http://www.cyberdriveillinois.com/publications/pdf_publications/bca425.pdf Typically a business is required to make unemployment insurance contributions to the Illinois Department of Employment Security (IDES) if they have: 1) employed one or more workers in each of 20 or more calendar weeks; or 2) paid at least $1,500 in total wages during the calendar quarter. IDES offers a New Employer Packet. To request this packet, contact: Department of Employment Security Division of Unemployment Insurance 401 South State Street Chicago, Illinois 60605 XXX-XXX-XXXX TDD: 1-800-526-0844 In Illinois, worker's compensation insurance is sold in the private sector. You may contact a licensed insurance agent, perhaps one who specializes in business owners' insurance. If you cannot find an insurer to write you a policy, you may sign up or have your agent enroll you in the assigned risk plan, administered by the National Council of Compensation Insurance (800/622-4123 (ask for the Illinois assigned risk plan)). I sincerely hope that this information is helpful,

18 days ago.

Reply

Thank you. Is the form BCA 4.25 (Application for Registration, renewal or Cancellation of Foreign Corporation Name) the form to use for transacting business in Illinois? What about form BCA 13.15 (Application for Authority to Transact Business in Illinois)? This form requires a certified copy of the Articles of Incorporation. Form BCA 4.25 requires only a Certificate of Good Standing. Which is the correct form?

Thank you.

Accepted Answer

Since you are a foreign corporation, by Illinois standards, you will need the BCA 4.25 but please make sure that you contact the agencies involved for each section I mentioned in my previous message. The agencies will be better able to advise and can assist you with any changes that may have occurred. The Certificate of Good Standing may be required from California to show Illinois your status with California. Hope this helps,

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Expert: Robin D
Pos. Feedback: 100.0 %
Accepts: 
Answered: 11/4/2009

Senior Tax Advisor 4

15years with H & R Block. Divisional leader, Instructor

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