Child Care / Day Care Permits & Licenses in Reading, PA

Complete guide to permits and licenses required to start a child care / day care in Reading, PA. Fees, renewal cycles, and agency contacts.

Professional Liability / Errors & Omissions Insurance

None
Required
Fee: $800.00-$1500.00
Renewal: one time
Type: certificate

Not legally required in Pennsylvania for child care providers. However, strongly recommended to cover allegations of negligence, supervision failure, or educational malpractice. Often included in umbrella policies.

Product Liability Insurance

U.S. Small Business Administration (SBA)
Required
Fee: $600.00-$600.00
Renewal: one time
Type: certificate

Not legally required unless selling physical products (e.g., toys, food). Most general liability policies include limited product liability coverage. Child care providers who do not sell goods are not required to carry separate product liability insurance.

Liquor Liability Insurance

Pennsylvania Liquor Control Board (PLCB)
May Apply
Renewal: one time
Type: certificate

Only applicable if the child care business serves alcohol (e.g., at an event). Not typical for child care providers. Requires a PLCB license and compliance with dram shop laws.

Annual Registration Renewal for Child Care Centers

Pennsylvania Department of Human Services (DHS), Office of Child Development and Early Learning (OCDEL)
Required
Fee: $250.00-$250.00
Renewal: annual
Type: license

All licensed child care centers must renew their registration annually by June 30. The renewal process includes submission of updated policies, staff qualifications, and compliance documentation. Fee is non-refundable.

Biennial Fire Inspection

Pennsylvania Department of Labor & Industry, Bureau of Fire Prevention
Required
Fee: $150.00-$300.00
Renewal: biennial
Type: permit

Required for all child care facilities under 55 Pa. Code § 3270.52. Inspection ensures compliance with the Pennsylvania Fire Prevention Code (Act 214). Facilities must correct deficiencies within 30 days.

Annual Health and Sanitation Inspection

Pennsylvania Department of Health (DOH)
Required
Renewal: annual
Type: permit

Conducted by local or state health departments under 28 Pa. Code § 201.1. Covers food handling, hygiene, disease control, and sanitation. Report must be posted publicly.

Certificate of Organization (LLC Registration)

Pennsylvania Department of State - Bureau of Corporations and Charitable Organizations
Required
Fee: $125.00-$125.00
Renewal: one time
Type: registration

Required for all LLCs. Annual Decennial Report also required every 10 years ($70 fee).

Registration to Do Business (Foreign LLC, if applicable)

Pennsylvania Department of State - Bureau of Corporations and Charitable Organizations
May Apply
Fee: $250.00-$250.00
Renewal: one time
Type: registration

Not required for PA-formed LLCs.

Fictitious Name Registration (DBA)

Pennsylvania Department of State - Bureau of Corporations and Charitable Organizations
May Apply
Fee: $70.00-$70.00
Renewal: one time
Type: registration

Renewal every 10 years with Decennial Report.

Child Care Facility License (Group Child Care or Day Care Center)

Pennsylvania Department of Human Services - Office of Child Development and Early Learning
Required
Fee: $40.00-$200.00
Renewal: annual
Type: license

Required for facilities serving 7+ unrelated children under 13. Provisional license first year.

Child Care Home (Family Day Care) Registration or License

Pennsylvania Department of Human Services - Office of Child Development and Early Learning
May Apply
Fee: $20.00-$80.00
Renewal: annual
Type: license

Registration for ≤6 children; license for 7-12. Includes health/immunization requirements for staff.

Certified Background Check (for Owners/Operators/Staff)

Pennsylvania Department of Human Services - Child Abuse History Clearance
Required
Fee: $13.00-$13.00
Renewal: one time
Type: permit

Required for all who have direct child contact. Also requires FBI and State Police checks.

Pennsylvania Sales and Use Tax License

Pennsylvania Department of Revenue
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Most child care exempt from sales tax but register if applicable.

Pennsylvania Employer Withholding Account (if hiring employees)

Pennsylvania Department of Revenue
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Required for withholding PA personal income tax.

Unemployment Compensation Account (if hiring employees)

Pennsylvania Department of Labor & Industry
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

All employers meeting threshold must register.

Pennsylvania Sales Tax Permit Registration

Pennsylvania Department of Revenue
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Child care services themselves are generally exempt from sales tax in PA. However, if the business sells tangible personal property (e.g., food, drinks, school supplies) to parents or third parties, a sales tax license is required. See PA Title 72, Chapter 60.

Employer Withholding Tax Registration

Pennsylvania Department of Revenue
May Apply
Renewal: one time
Type: registration

Required for all employers in PA. Includes withholding state income tax from employee wages. Registration is done via PA-100 form.

Pennsylvania State Income Tax Registration (for LLC pass-through entities)

Pennsylvania Department of Revenue
Required
Renewal: one time
Type: registration

LLCs are generally pass-through entities; owners report income on personal PA-40 returns. However, the business must still register with the Department of Revenue for tax tracking. Multi-member LLCs may need to file PA-20S/PA-65 if electing corporate treatment.

Unemployment Insurance Tax Registration (PA SUTA)

Pennsylvania Department of Labor & Industry
May Apply
Fee: $8000.00-$8000.00
Renewal: one time
Type: registration

All employers with employees in PA must register with the UC Service Center. New employers typically pay 3.68% for first 3–5 years. Form UC-1 is used for registration.

Pennsylvania Corporate Franchise Tax / Capital Stock Tax

Pennsylvania Department of Revenue
May Apply
Renewal: one time
Type: filing

Most LLCs are not subject to franchise tax if treated as pass-through entities. Applies only if the LLC files federal Form 1120 (C-corp). Single-member and multi-member LLCs filing as partnerships or disregarded entities are exempt.

Pennsylvania Business Annual Report (LLC)

Pennsylvania Department of State, Corporation Bureau
Required
Fee: $70.00-$70.00
Renewal: annual
Type: filing

All Pennsylvania LLCs must file an annual report with the Department of State. Due each year on the anniversary month of formation. Must be filed online via PENN File system.

Federal Employer Identification Number (FEIN) Annual Filing (Form 940)

Internal Revenue Service (IRS)
May Apply
Renewal: annual
Type: filing

Form 940 reports Federal Unemployment Tax Act (FUTA) tax. Due annually even if no tax is owed. Applies only to employers with paid staff.

Federal Employer Identification Number (FEIN) Annual Filing (Form 941)

Internal Revenue Service (IRS)
May Apply
Renewal: varies
Type: filing

Form 941 reports income taxes, Social Security, and Medicare taxes withheld from employees. Required quarterly for all employers.

Pennsylvania Employer Withholding Tax Filing

Pennsylvania Department of Revenue
May Apply
Renewal: one time
Type: filing

Employers must file PA-1000 or PA-1000S electronically. Filing frequency determined by annual withholding amount. Must register via PA Online Business Tax Registration (PA-100).

Pennsylvania Sales Tax License Renewal

Pennsylvania Department of Revenue
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Sales tax license (via PA-100 registration) does not require renewal but must be maintained. Sellers must file returns (Form REV-186) monthly, quarterly, or semi-annually.

Required Recordkeeping for Child Care Programs

Pennsylvania Department of Human Services (DHS)
Required
Renewal: one time
Type: permit

Required records include attendance, staff qualifications, immunization records, incident reports, medication logs, and parent communications. Must be available for inspection at all times. Per 55 Pa. Code § 3270.61.

Display of Child Care License and Ratings

Pennsylvania Department of Human Services (DHS)
Required
Renewal: one time
Type: permit

Facility must post current child care license, Keystone STARS rating, and most recent health inspection report. Required under OCDEL policy and 55 Pa. Code § 3270.42.

Labor Law Postings (Federal and State)

U.S. Department of Labor
May Apply
Renewal: one time
Type: permit

Required postings include PA Minimum Wage, OSHA, IRS Withholding, and FMLA. Must be visible to employees. Federal posters available at dol.gov; PA posters at dli.pa.gov.

First Aid and CPR Certification Renewal

Pennsylvania Department of Human Services (DHS)
May Apply
Fee: $50.00-$120.00
Renewal: biennial
Type: certificate

Per 55 Pa. Code § 3270.72, all staff must have current pediatric first aid and CPR certification from an approved provider (e.g., American Red Cross, American Heart Association). Certification must be renewed every 2 years.

Child Abuse Recognition and Reporting Training

Pennsylvania Department of Human Services (DHS)
May Apply
Renewal: biennial
Type: certificate

Mandated by Act 126 of 2014. Must complete 3 hours of training every 24 months. Course available at https://www.dhs.pa.gov/ChildWelfare/MandatedReporter/Pages/default.aspx

Annual Fire Drill Documentation

Pennsylvania Department of Labor & Industry, Bureau of Fire Prevention
Required
Renewal: varies
Type: permit

Per 55 Pa. Code § 3270.52, facilities must conduct and document a fire drill monthly. Records must include date, time, evacuation time, and any issues. Records retained for 4 years.

Evacuation and Shelter-in-Place Drill Documentation

Pennsylvania Department of Human Services (DHS)
Required
Renewal: varies
Type: permit

Per 55 Pa. Code § 3270.53, facilities must conduct and document one evacuation and one shelter-in-place drill quarterly. Must include children and be recorded with date, time, duration, and outcome.

Local Earned Income Tax (City/County Business Privilege Tax)

Local jurisdiction (e.g., City of Philadelphia, Allegheny County, etc.)
May Apply
Renewal: one time
Type: registration

Many Pennsylvania cities and counties impose local earned income taxes on businesses and individuals. Employers must withhold and remit. Registration typically through local tax collector (e.g., Berkheimer, Keystone Collections). Examples: Pittsburgh, Philadelphia, Scranton. Confirm requirements with local tax office.

Philadelphia Business Income and Receipts Tax (BIRT) Registration

City of Philadelphia Department of Revenue
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Required for all businesses; LLCs register via PhilaNext portal

Philadelphia Commercial Activity License

City of Philadelphia Department of Licenses and Inspections (L&I)
May Apply
Fee: $300.00-$300.00
Renewal: annual
Type: license

Specific "Day Care Center" license category under L&I; zoning approval required prior

Philadelphia Zoning Permit (Use Registration Permit)

City of Philadelphia Department of Licenses and Inspections
May Apply
Fee: $100.00-$500.00
Renewal: one time
Type: permit

Child care centers permitted in commercial/institutional zones (e.g., CMX-2.5); ZBA variance may be needed

Philadelphia Building Permit (for renovations)

City of Philadelphia Department of Licenses and Inspections
May Apply
Fee: $100.00-$100.00
Renewal: one time
Type: permit

Required for child care facility upgrades to meet safety standards

Philadelphia Fire Safety Inspection and Permit

City of Philadelphia Fire Department
May Apply
Fee: $100.00-$300.00
Renewal: annual
Type: permit

Group E occupancy (educational/day care) requires sprinklers, exits, fire alarms

Philadelphia Certificate of Occupancy

City of Philadelphia Department of Licenses and Inspections
May Apply
Fee: $100.00-$400.00
Renewal: one time
Type: permit

Verifies compliance with building, fire, and zoning codes

Philadelphia Health Department Plan Review and Permit (Food Service)

Philadelphia Department of Public Health
May Apply
Fee: $400.00-$400.00
Renewal: annual
Type: permit

Required if food prep beyond simple snacks; child care nutrition standards apply

Philadelphia Fire Alarm Permit and Inspection

City of Philadelphia Fire Department
May Apply
Fee: $150.00-$150.00
Renewal: one time
Type: permit

Mandatory for child care facilities >2,500 sq ft or multi-story

Allegheny County (Pittsburgh) Occupancy License for Day Care

City of Pittsburgh Department of Permits, Licenses, and Inspections (PLI)
May Apply
Fee: $125.00-$125.00
Renewal: annual
Type: license

Specific "Day Care Center" occupancy license; fire and health inspections prerequisite

Pittsburgh Zoning Compliance (Occupancy Permit)

City of Pittsburgh Department of City Planning
May Apply
Fee: $125.00-$125.00
Renewal: one time
Type: permit

Child care uses permitted in EI, EI-A, EI-B zones; conditional in others

Allegheny County Health Department Child Care Facility Permit

Allegheny County Health Department
May Apply
Fee: $200.00-$200.00
Renewal: annual
Type: permit

Complements state certification; sanitation and safety inspections

Workers' Compensation Insurance

Pennsylvania Department of Labor & Industry (DLI) – Workers’ Compensation Division
May Apply
Fee: $0.50-$0.50
Renewal: one time
Type: certificate

Mandatory for all employers with employees under the PA Workers' Compensation Act. Sole proprietors with no employees are exempt. Coverage must include medical, disability, and death benefits.

General Liability Insurance

U.S. Small Business Administration (SBA)
May Apply
Fee: $500.00-$500.00
Renewal: one time
Type: certificate

Not mandated by statute but required as part of licensing standards under 55 Pa. Code § 3270.17. Recommended minimum $1 million per occurrence. Covers slip-and-fall, property damage, and other third-party bodily injury claims.

Surety Bond (Child Care Licensing Bond)

Pennsylvania Department of Human Services (OCDEL)
May Apply
Fee: $100.00-$500.00
Renewal: one time
Type: certificate

A $10,000 surety bond is required for all group and family child care homes under 55 Pa. Code § 3270.17. This is a license bond to ensure compliance with state child care regulations. Not required for legally exempt providers (e.g., relatives, short-term care).

Commercial Auto Insurance

Pennsylvania Insurance Department (PID)
May Apply
Fee: $1200.00-$1200.00
Renewal: one time
Type: certificate

Required under PA Financial Responsibility Law for all vehicles registered to a business. Minimum liability limits: $15,000 bodily injury per person, $30,000 per accident, $5,000 property damage. Higher limits recommended for child transport.

Keystone STARS Program Reporting

Pennsylvania Department of Human Services (DHS)
May Apply
Renewal: annual
Type: filing

STARs-participating providers must submit annual data on staff education, curriculum, family engagement, and program improvements. Required for maintaining or advancing STARs level.

Step-by-Step Compliance Guide

  1. First, obtain a Federal Employer Identification Number (EIN) from the IRS, which is required even if you don't plan to hire employees.
  2. Next, ensure your advertising and consumer protection practices comply with the Federal Trade Commission (FTC), with fees varying based on specific circumstances.
  3. You must also adhere to the Americans with Disabilities Act (ADA) standards, potentially incurring costs between $5,000.00 and $10,000.00 for compliance.
  4. File your annual Federal Income Tax Return with the IRS, using Form 1120 or 1065, with associated fees varying.
  5. Secure Professional Liability/Errors & Omissions Insurance, with costs ranging from $500.00 to $2000.00.
  6. Comply with the Consumer Product Safety Commission (CPSC) regulations regarding children’s products, which may involve varying fees.
  7. Address Federal Income Tax Filing obligations specific to LLCs, as determined by the IRS, with fees that vary.
  8. Finally, ensure ongoing compliance with the Americans with Disabilities Act (ADA) as outlined by the Department of Justice, with costs varying based on your specific needs.
  9. There are no industry-specific federal licenses required for child care operations.

Common Mistakes to Avoid

  • Forgetting to obtain an EIN can lead to penalties from the IRS.
  • Ignoring FTC advertising guidelines can result in legal action and fines.
  • Failing to comply with ADA standards can lead to lawsuits and accessibility issues.
  • Incorrectly filing federal income taxes can trigger audits and penalties.
  • Overlooking CPSC regulations for children's products can lead to product recalls and safety concerns.

Frequently Asked Questions

What is the cost of Professional Liability Insurance?

Professional Liability/Errors & Omissions Insurance, required by the IRS, typically ranges from $500.00 to $2000.00, and is a one-time fee for initial coverage.

Are there federal licenses specifically for operating a child care business?

No, there are no industry-specific federal licenses required for child care, as determined by the U.S. Small Business Administration (SBA); however, other federal compliance requirements still apply.

What does ADA compliance entail for a child care center?

ADA compliance, overseen by the Department of Justice, ensures your facility is accessible to individuals with disabilities, potentially costing between $5,000.00 and $10,000.00 for initial compliance.

How often do I need to file federal income taxes?

You must file your Federal Income Tax Return annually with the IRS, using the appropriate form (1120 or 1065) depending on your business structure, and associated fees vary.

What is the FTC’s role in regulating my business?

The Federal Trade Commission (FTC) regulates advertising and consumer protection, ensuring fair business practices; compliance fees vary based on your specific advertising activities.

Need a personalized checklist?

Permit Finder asks follow-up questions to give you an exact list of permits.

Find Your Permits