Summary
The fact that you may need to register with state agencies like Wisconsin Secretary of State is a sneaky misconception that many folks miss.
However, with the rise of remote work, states have begun cracking down and levying penalties for those who (unknowingly) fail to register.
If you're considering operating in Wisconsin, use this guide to:
- Explore the that triggers the need to register with the Wisconsin Secretary of State, including criteria such as physical presence, economic activity, and advertising efforts.
- Determine where and how to register with the Wisconsin Secretary of State.
- Understand additional requirements such as Registered Agents, registration with other state departments, and ongoing annual reports.
What criteria would trigger the requirement to register with the Wisconsin Secretary of State?
Key Factors
Physical Presence: The following indicate strong physical presence in Wisconsin:
- Having an office, facility, store, warehouse, or other physical location.
- Having employees, contractors, or sales representatives operating in the state.
- Owning or leasing property in Wisconsin (real estate or tangible property).
Economic Activity: These economic activities also suggest you're doing business in Wisconsin:
- Selling goods or services to Wisconsin customers (even remotely or online).
- Providing services within Wisconsin.
- Regularly engaging in business transactions within the state.
- Deriving income from any business, trade, profession, or occupation conducted within Wisconsin.
Specific Examples
The following activities would likely be considered doing business in Wisconsin:
- Operating a retail store or restaurant in Wisconsin.
- Maintaining a warehouse or distribution center in Wisconsin.
- Sending employees to provide on-site services to clients in Wisconsin.
- Having a sales team that regularly visits Wisconsin-based clients.
- Selling products to Wisconsin residents through an online store or marketplace (especially if you hit certain sales thresholds).
Nexus and Remote Sellers
Wisconsin follows the concept of nexus, meaning that a sufficient level of physical or economic connection to the state creates tax obligations. Remote sellers with no physical presence may still have tax obligations if they surpass specific sales or transaction thresholds.
Where do I register, and what else is required?
[Wisconsin Secretary of State]()
- A Certificate of Good Standing is not required.
In addition:
A Registered Agent is required to serve as the company's physical in-state presence to receive important legal documents. Do not fall victim to the common misconception that you can leverage an in-state employee as your Registered Agent. It's far too risky.
You'll want to review the other registrations required in Wisconsin. Here's a Wisconsin specific guide we put together.
What is the registration fee?
The fee charged by Wisconsin is N/A.
How long does Wisconsin usually take to process?
Wisconsin usually takes approximately Less than 1 week to process registrations.
What is required ongoing?
Each state has a complex schedule of required annual reports, which can vary by entity type. Let's take a look at Wisconsin's:
C-Corporation
- Filing Date: By the end of the calendar quarter of incorporation
- Filing Frequency: Annual
LLC
- Filing Date: By the end of the calendar quarter of incorporation
- Filing Frequency: Annual
Non-Profit
- Filing Date: By the end of the calendar quarter of incorporation
- Filing Frequency: Annual
There is an Easier Way
Automate registration and annual report tracking in AbstractOps.This guide should definitely help reduce some of the confusion for Wisconsin. However, if you have multiple states to worry about, you may look to:
Automate state registrations and annual reports
Centralize email, snail mail, state ID’s, and registered agents, and
Take control of action items, eliminating risks before they become penalties.
Start the AbstractOps product demo to see how easy this can be.
Note: For the avoidance of doubt, nothing provided here shall contemplate, constitute or include tax or legal advice. Always double check with state agency websites for the most up-to-date requirements.
