Looking to Register your tutoring business in Los Angeles? This article is intended to help tutors that work for themselves, and or with tutoring referral agencies register for the appropriate city business tax certificates. If you want to tutor with a reputable company like Strommen Inc. you will first need to be fully set up as an independent tutor. Check out more resources for tutors here.
If you are located in the city of Los Angeles and you are a corporation, LLC or a sole proprietor / individual that received a 1099 for tutoring, or was paid directly by a company or individual by cash or check (not as an employee) that means you are an independent business. You will want to register for a free city of LA business license. If you are just starting your business and are registering for the first time you will want to put the start date of your business as today’s date. If you have already started a business and do not have a license you may have to pay penalties and back tax if the start date is before today’s date, but not to worry the tax rate is low ($5 for every 1000 earned) normally there is a small business exemption if you make less than 100,000 annually.
As a tutor your business activity code is L049 (Professions/Occupations) for a full list go here
Before You Start:
You may register your business online or in person at one of the Office of Finance locations. To register, you will need to provide:
- Please note you will likely answer “no” to all the questions on page one and “no” to all the questions on page 2 except for “yes” on this category: “Do you conduct any service activities that are not described as ‘Miscellaneous Services’, as well as all other business activities not specifically taxed by other sections of the Business Tax Ordinance? Some examples are attorneys, dentists, barbers, auto mechanics, handymen, etc.” This is the category for language tutors.
- Your Federal Employment Identification Number (EIN) or your Social Security Number. If you want to get an EIN so you dont have to use your social you can get it online (It takes 5 minutes to get here) but is not necessary.
- A description of your business activities – For Example: Tutoring
- Your legal business name – For Example “Jane Doe’s Tutoring”
- Your business type (sole proprietor – or if you have a corporation etc)
- Your business start date (see above)
- The primary mailing address for your business – your home, home office, or office address (not the tutoring referall agency)
- Your business contact information – Your personal contact info
- You will notice it asks you a lot of questions about what kind of business it is. If you are a tutor you can check “yes” to “other services”
- Your primary activity code is most likely “61100”
- take a screenshot or printout (pdf) of the confirmation screen because this will serve as your temporary registration.
Use this link to get started on the City of La Office of Finance Site