Accounting / CPA Permits & Licenses in Norfolk, VA

Virginia repealed its franchise tax effective January 1, 2021. No longer applies to LLCs or other entities.

Required for all LLCs to register with the state. Annual registration fee of $50 due May 1 each year.

All domestic LLCs must pay annual registration fee even if not transacting business.

Prerequisites: 150 semester hours education (incl. bachelor's), pass Uniform CPA Exam, 1 year supervised experience. Firm offering CPA services must have at least one VA-licensed CPA as owner/responsible party.

Required for any firm using "CPA" or "Certified Public Accountant" in name or offering attest/audit services. Must have VA-licensed CPA with ownership/responsibility. Effective for permits issued after July 1, 2020.

Required if business operates under any name other than exact LLC name on record. Renew every 10 years for $10.

Accounting/CPA services generally exempt from sales tax, but required if business sells taxable items (software, books, etc.).

Required in many Virginia jurisdictions; check local requirements.

CPA/Accounting services are generally not subject to sales tax in Virginia unless bundled with taxable products. Most professional services are exempt. Registration only required if selling taxable items.

Required for all employers in Virginia. Applies to both full-time and part-time employees. Includes withholding state income tax from employee wages.

Employers must register with the Virginia Workforce Commission (VWC) and pay annual unemployment insurance tax on first $8,000 of each employee's wages (as of 2024). Rate varies by experience rating.

Local privilege tax imposed on businesses operating in Virginia jurisdictions. CPA firms are subject to BPOL tax based on gross receipts from services. Must register with each locality where business is conducted. Contact local treasurer for exact deadlines and rates.

LLCs taxed as pass-through entities require owners to report income on personal returns. Virginia requires composite tax filing if non-resident members are involved. Form 763/763-S must be filed annually.

Required for all multi-member LLCs or those with employees. Single-member LLCs without employees may use owner’s SSN, but EIN is recommended for banking and professionalism.

CPA firms must obtain business license from city/county of operation. See specific locality sites (e.g., Fairfax: https://www.fairfaxcounty.gov/taxes/business-professionals-occupational-license; Arlington: https://www.arlingtonva.us/Government/Departments/Commissioner-of-Revenue/Business/Business-License). Professional license from Virginia Board of Accountancy is separate state requirement.

Accounting/CPA typically permitted in office/professional zones. Home-based requires compliance with local limits (e.g., no client visits, <25% home used). Check specific locality zoning map/code (e.g., Fairfax Zoning Ordinance Sec. 2-419).

Required for structural changes, electrical/HVAC work. CPA office fit-outs often trigger if beyond cosmetic.

Must comply with local sign ordinance (size, lighting, placement restrictions). Freestanding signs often more regulated.

CPA firms with employees must comply with OSHA’s general duty clause and maintain a safe workplace. For office-based businesses like accounting firms, requirements are minimal (e.g., accessible exits, no exposed wiring). No specific OSHA standards apply uniquely to accounting, but recordkeeping (e.g., Form 300) is required only if workplace injury occurs.

ADA requires accessibility in places of public accommodation. CPA firms with physical offices must ensure access for people with disabilities (e.g., ramps, accessible restrooms, door widths). Digital accessibility (website) is increasingly enforced under ADA Title III. While not explicitly codified, DOJ and courts have applied ADA to websites that provide services.

CPA firms do not typically handle hazardous waste or emit pollutants. Therefore, federal EPA regulations (e.g., RCRA, CERCLA, Clean Air/Water Acts) do not apply to standard accounting practices. This requirement is not applicable unless the firm expands into non-traditional operations.

CPA firms must ensure all advertising (websites, brochures, social media) is truthful and not misleading. Claims about credentials (e.g., 'Certified Public Accountant') must be accurate. FTC enforces against deceptive practices under Section 5 of the FTC Act. Specific to CPA firms: cannot misrepresent qualifications, success rates, or client outcomes.

All U.S. employers, including CPA firms, must complete Form I-9 for each employee to verify identity and authorization to work. E-Verify is not mandatory for most businesses unless contracting with federal agencies or in certain states. Applies to all employees regardless of citizenship.

CPA firms must comply with FLSA requirements for minimum wage ($7.25/hour federally), overtime (1.5x regular rate for hours over 40/week), and recordkeeping. Some employees (e.g., licensed CPAs, managers) may qualify for white-collar exemptions. State law (Virginia) may impose stricter rules, but federal baseline applies.

CPA offices typically low-hazard but need annual inspection if > certain size. Sprinklers/alarms trigger additional review.

Confirms building code compliance post-construction/renovation.

Required to register alarm; excessive false alarms increase fees.

Office coffee service exempt; no health permit needed for professional services without food handling.

Typically part of zoning/site plan approval for new development.

Compliance with local noise ordinance only; no permit typically needed.

Required for all employers with two or more employees in Virginia, including LLC members who receive wages. Sole proprietors without employees are exempt. CPAs providing services as independent contractors are not counted as employees.

Not statutorily mandated by Virginia law for all CPA firms, but required under 18VAC5-22-30 for any licensee performing compilation, review, or audit services unless specifically waived in writing by the client. Strongly recommended for all accounting practices to mitigate malpractice risk.

Not legally required by Virginia for general businesses, including accounting firms. However, often required by commercial leases or client contracts. Considered best practice for protection against third-party bodily injury or property damage claims.

Virginia does not require a surety bond for CPA firms or accounting businesses as a condition of licensure or operation. Individual CPAs must be licensed, but no bond is posted. Firms providing tax preparation services may need a bond if representing clients before the IRS, but that is a federal requirement (see IRS Circular 230), not a Virginia state mandate.

Required for any vehicle registered to the LLC. Virginia mandates minimum liability coverage: $25,000 bodily injury per person, $50,000 per accident, $20,000 property damage. Applies to all registered vehicles, regardless of business type.

Not required by Virginia law. Accounting/CPA firms do not sell physical products, so this does not apply. No regulatory mandate exists for product liability insurance in service-based professions unless tangible goods are distributed.

Only required for businesses that manufacture, distribute, or serve alcohol. CPA firms in Virginia are not involved in alcohol sales or service, so this does not apply and is not mandated.

Not statutorily mandated by Virginia, but **increasingly required by clients, insurers, and professional standards**. Highly recommended for all firms using digital client data. May become mandatory under future regulations.

All LLCs are required to obtain an EIN from the IRS regardless of whether they have employees. This applies even if the LLC is a single-member LLC treated as a disregarded entity for tax purposes. Required for opening a business bank account, filing taxes, and hiring employees.

A Virginia LLC operating as a CPA firm is typically treated as a disregarded entity (if single-member) or partnership (if multi-member) unless it elects corporate status. Single-member LLCs report income on Schedule C of Form 1040. Multi-member LLCs must file Form 1065 (U.S. Return of Partnership Income). Even if no income, timely filing is required if applicable. This requirement is standard for all LLCs but essential for accounting firms due to professional income reporting.

Applies only if the CPA firm employs 50 or more employees for at least 20 workweeks in the current or preceding year. Requires eligible employees (12 months, 1,250 hours) to be granted up to 12 weeks of unpaid, job-protected leave annually for qualifying reasons (e.g., birth, serious health condition). Not applicable to most small CPA firms unless large firm.

There is no federal license required to operate as a CPA or accounting firm. However, individual CPAs must be licensed by the Virginia Board of Accountancy. The IRS regulates tax preparers but does not require a federal license. However, paid tax preparers must obtain a Preparer Tax Identification Number (PTIN), which is mandatory for anyone paid to prepare U.S. tax returns. This is specific to tax professionals. Firms offering investment advisory services may need SEC or state registration, but this is not inherent to standard CPA practice.

All individuals paid to prepare or assist in preparing federal tax returns must have a valid PTIN. This includes CPAs, even though they hold state licenses. The PTIN is separate from an EIN and is mandatory for tax professionals. This is a key federal requirement specific to accounting/CPA services.

CPA firm owners in an LLC structure are subject to self-employment tax on their distributive share of profits. This is standard for all self-employed individuals but particularly relevant for professional service firms like accounting practices.

If the LLC was formed on any day in March, the annual report is due by March 31 each year. The SCC sends an email reminder 30 days prior.

Renewal can be completed online via the DPOR portal. The Board issues a new license card upon approval.

Minimum 30 CPE hours, including at least 4 hours of ethics. Documentation must be retained for 5 years.

If the LLC elects partnership taxation, file Form 502. Estimated tax payments may be required.

Select this filing if the LLC is taxed as a corporation.

LLC may elect corporate taxation; filing deadline follows the elected classification.

Required if the entity expects to owe $150 or more in Virginia tax for the year.

Employers must also file an annual UI reconciliation (Form UC‑2) by March 31.

Even a single employee may trigger coverage requirements under Virginia law.

Employers must also deposit payroll taxes semi‑weekly or monthly depending on liability.

Includes books, ledgers, invoices, payroll records, and supporting documentation for tax filings.

Federal OSHA poster also required; available from https://www.osha.gov/posters.

Check with the city or county planning/zoning department for any specific office‑use permits.