Louisville Metro Business License: No City License, 2.2% Occupational Tax (1.45% Non-Residents), LMRC Tax Account and Quarterly Estimates

If you are looking for a Louisville KY business license, the short answer is that Louisville Metro does not issue a general business license with a flat fee. What it does require is a tax account with the Louisville Metro Revenue Commission (LMRC) and payment of an occupational license tax on the net profits, payroll and business activity your company generates. Louisville Metro is consolidated with Jefferson County, so one local government covers the whole county. This guide covers what to register, how the tax is calculated and when quarterly estimated payments are due.

This is informational content, not legal or tax advice. Tax rules change, and the figures here come from the sources cited in this guide. For a complex situation, such as multiple owners, employees in several jurisdictions or questions about how your entity is taxed, talk with a qualified attorney or CPA before you file.

Materials You Need Before You Start

• A chosen legal structure: sole proprietorship, LLC, corporation or partnership
• A Kentucky registered office (a Kentucky street address, since a post office box is not accepted) and a registered agent
• A federal Employer Identification Number (EIN) from the IRS
• Your projected annual net profit, which determines your occupational tax and whether quarterly estimates apply
• Payroll details if you have employees, since withholding is reported on a separate LMRC account (Form W-1)
• Login access to Kentucky One Stop (onestop.ky.gov) and MyTaxes.ky.gov
• Your business start date and principal business address

Step 1: Understand What a No License Result Means in Practice

Kentucky has no statewide general business license, and Louisville issues none either. Registering an entity or an assumed name with the Kentucky Secretary of State is a filing, not a license. Your Louisville obligations come from three separate places: your tax registrations, the occupational license tax and any trade or industry license your specific work requires. Most owners complete Steps 2 through 7 below, and Step 8 covers industry licenses.

Step 2: Form Your Entity or File Your Assumed Name

If you are forming an LLC, file Articles of Organization (Form KLC, Profit Limited Liability Company) for a $40 filing fee. Corporations file Articles of Incorporation (Form PAI, Profit Corporation) for $50. New formations are filed through the Kentucky One Stop Business Portal. Filings usually process the same day received but may take up to three business days, and online filings take effect at the date and time they are filed. The Secretary of State publishes no expedited tier, so online filing is the practical fast path.

An LLC name must contain the words limited liability company, limited company, or the abbreviation LLC or LC. To abbreviate limited company you must use LTD CO. If you need time to decide on a name, you can reserve it for 120 days for $15. Every entity must keep a Kentucky registered office and registered agent, and changing either costs $10.

If you operate as a sole proprietor using a trade name, the process differs. Sole proprietors file a Certificate of Assumed Name with the county clerk of the county where they reside. Entities file Form ASN with the Secretary of State for $20. Recording fees at the county clerk are set locally, so confirm them with the clerk's office.

Step 3: Get Your EIN and Register With the Kentucky Department of Revenue

Obtain your federal EIN from the IRS before you register with Kentucky. Then register your business tax account with the Kentucky Department of Revenue using Form 10A100 through MyTaxes.ky.gov. Kentucky has a flat 6% sales tax with no local sales taxes added on top, but the tax reaches about 50 services, so check whether your sales are taxable. If you will sell taxable goods or services, start at the Kentucky Department of Revenue business registration page.

Step 4: Register Your LMRC Tax Account

This is the step most people mean when they search for a Louisville KY business license. Register with the Louisville Metro Revenue Commission for each account that applies to you:

• OL-3: net profit occupational license tax
• W-1: withholding tax on employee wages
• Insurance premium tax
• Transient room tax, if you rent lodging for stays under 30 days

Contact the LMRC at P.O. Box 32060 or 502-574-4860. The 2025 registration form shows no fee line, but confirm whether any fee applies before you send payment. Ask the Revenue Commission for the filing frequency and due date of each account, since it sets those dates.

Step 5: Calculate the Occupational License Tax

Louisville applies its occupational license tax to every business and every wage earner. Your rate depends on who you are:

Taxpayer	Rate
Business entities and Louisville residents	2.2%
Non-resident individuals who pay no school tax	1.45%

The 2.2% rate is divided among four recipients:

Recipient	Share
Louisville Metro	1.25%
TARC	0.20%
Louisville and Anchorage school boards	0.75%
Total	2.20%

The 1.45% rate is the 2.2% total without the 0.75% school board share, which is why it applies to non-resident individuals who pay no school tax. Whether you qualify is a question for your individual situation, so confirm it with the LMRC. These rates reflect the 2025 OL-3D instructions.

Step 6: Plan Your Quarterly Estimated Payments

Quarterly estimates are required when your net profit tax due exceeds $5,000. Sole proprietors are exempt, as is a business in its first year in Louisville. If you do owe estimates, payments are due on the 15th day of the 4th, 6th, 9th and 12th months of your fiscal year. Any shortfall accrues 12% annual interest.

Installment	Due date
1	15th day of the 4th month of the fiscal year
2	15th day of the 6th month of the fiscal year
3	15th day of the 9th month of the fiscal year
4	15th day of the 12th month of the fiscal year

If your fiscal year matches the calendar year, those dates fall on April 15, June 15, September 15 and December 15. Put them on your calendar when you register, and revisit your estimate after any unusually strong or weak quarter.

Step 7: Handle Transient Room Tax If You Rent Short Stays

If you operate lodging where guests stay fewer than 30 days, the transient room tax is an 8.5% aggregate rate on the stay. Report it monthly on Form TR1M through your LMRC transient room account. Short-term rentals may also face separate rules, so check with Louisville Metro Codes and Regulations before you list a property.

Step 8: Check Industry Licenses and Local Rules

Kentucky licenses by agency and trade, not through a general business license. Check these before you open:

• Department of Housing, Buildings and Construction: electricians, plumbers and HVAC. Kentucky has no statewide general contractor license.
• Real Estate Authority, and the Boards of Cosmetology and Barbering, for their respective professions
• Cabinet for Health and Family Services: child care and home health
• Alcoholic Beverage Control (ABC): alcohol and tobacco
• Local health department: food permits, including food trucks
• Louisville Metro Codes and Regulations: food truck and short-term rental rules

Also check with small cities inside Jefferson County, such as Shively and Hillview. These cities may tax separately from Louisville Metro, so each one must be checked individually.

Step 9: Calendar Your Annual Obligations

• Secretary of State annual report: $15, due June 30 every year. The filing window opens January 1. Domestic entities that miss June 30 are administratively dissolved.
• Limited Liability Entity Tax (LLET) for LLCs and corporations: $175 minimum if Kentucky gross receipts or gross profits are $3 million or less. Larger entities follow a sliding scale, and above $6 million the tax is the lesser of 0.095% of Kentucky gross receipts or 0.75% of Kentucky gross profits. Kentucky has no franchise tax.
• LMRC accounts: follow the due dates the Revenue Commission assigns to each account you register.

Common Mistakes to Avoid

• Searching for a city license fee. Louisville does not charge a flat license fee. Your LMRC account and occupational tax are the core local obligations.
• Treating the Secretary of State filing as a license. Forming your LLC does not register you with the LMRC or the Department of Revenue. Each is a separate step.
• Applying the 1.45% rate without checking. Confirm your status with the LMRC before you file at the lower rate.
• Skipping quarterly estimates. Once you owe more than $5,000, a shortfall carries 12% annual interest.
• Assuming Louisville rules cover every city in Jefferson County. Shively, Hillview and other small cities may tax separately.
• Using a post office box as your registered office. Kentucky requires a street address.
• Missing the June 30 annual report. A missed filing can lead to administrative dissolution.

What Results to Expect

Completing these steps should leave you with the state filings, tax accounts and calendar dates you need to operate in Louisville. Many owners find the LMRC registration the most detail-heavy part, so allow extra time for the Revenue Commission to respond. State filings typically process the same day but may take up to three business days. Your first year may look different from later years, so an accountant can help you set up estimates and recordkeeping. Your results depend on your entity, income and industry, and no outcome is guaranteed.

Where to Get Help

The Kentucky Small Business Development Center works with Kentucky businesses on formation and planning questions, and the SBA Kentucky district page lists regional resources. For the Louisville tax account, contact the LMRC directly at P.O. Box 32060 or 502-574-4860. For complex structures or questions about your tax position, consult a qualified CPA or attorney.