Martinsburg WV Business License: $15 Licence, B&O Schedule and the Eastern Panhandle Market

If you are opening a shop, service company or contracting business in Martinsburg, the city business license is the local piece of your paperwork. It is inexpensive, but it is not the whole picture. Martinsburg sits in Berkeley County, the growth market of the Eastern Panhandle, and the city adds its own license and gross receipts tax on top of your state filings. This guide covers the order to do things, the figures to confirm, and the mistakes that cost people time.

This article is informational, not legal or tax advice. The city figures below come from the city's published schedule as copied in 2025. The live city site could not be checked for this article, so confirm every number with the City of Martinsburg Finance office before you pay or file.

First, understand what “business license” means in West Virginia

West Virginia has no general statewide business license. The closest state item is the Business Registration Certificate from the State Tax Division. It costs $30, is permanent until your business name, location or ownership changes, and is required for each fixed business location. Registering an entity such as an LLC with the Secretary of State is a filing, not a license, and it does not replace the Tax Division certificate.

The local layer is where Martinsburg comes in. The city business license, the city's gross receipts business and occupation (B&O) tax, and a weekly per-worker city service fee are all levied by the city. Many trades also need a separate state license, depending on the work you do.

Materials and information to gather first

• Your legal business name and the name you will trade under. If the trade name differs, you will need a DBA filing.
• The street address of each location where you will do business. The state certificate and the city license are both issued per location.
• A short written description of what you sell or do, so Finance can match you to the right B&O classification.
• Your entity paperwork if you form an LLC or corporation: Articles of Organization (Form LLD-1) for an LLC, or Articles of Incorporation (Form CD-1) for a corporation.
• A federal employer identification number (EIN) from the IRS if your structure or payroll requires one.
• Payment for each fee. Confirm accepted payment methods with each agency before you go in person.
• A rough estimate of your expected gross receipts for the year, so you can understand your B&O bill.
• Access to the WV One Stop Business Portal at https://business4.wv.gov/ for online state filings.

Step-by-step: getting your Martinsburg business license

Step 1: Choose your structure and file with the Secretary of State if needed

A sole proprietor who trades under their own name does not form an entity with the Secretary of State, but still needs the state Tax Division certificate and the city license. If you form an LLC, the filing is Articles of Organization on Form LLD-1. The filing fee is $100. Standard processing takes 5 to 10 business days. Expedited options cost extra: in-person same day or next business day is $25 each, 2 hour is $250 and 1 hour is $500, each in addition to the filing fee. Online filings through the portal add a $1.00 processing fee.

Your LLC name must contain “limited liability company,” “limited company,” or one of the abbreviations “L.L.C.,” “LLC,” “L.C.” or “LC.” It must also be distinguishable from every other name already registered or reserved. Check availability in the business search at http://apps.sos.wv.gov/business/corporations/. If you need time, you can reserve the name for 120 days for $15 at https://sos.wv.gov/reserveregister-business-name.

West Virginia does not require a separate commercial registered agent. The Secretary of State can accept service of process for your company. Form LLD-1 asks for an agent “if any,” so naming one is optional. If you do name an agent, keep the agent and address current. Changes are filed on Form AAO for $15.

Step 2: Register a DBA if you trade under another name

DBAs are filed with the Secretary of State, not a county clerk. Individuals, sole proprietors and general partnerships use Form TN-1, which has no filing fee. Corporations, LLCs and other registered entities use Form NR-3, which carries a $25.00 fee plus a $1.00 processing fee if you file through the portal. Start at the trade name registration page.

Step 3: Get the state Business Registration Certificate

Obtain the certificate from the WV Tax Division before you begin business activity. The one-time fee is $30. You can file on Form WV/BUS-APP or online at business4.wv.gov. A separate certificate is required for each business location. It stays valid until your business name, location or ownership changes, so keep a copy with your business records. The city expects this state registration before it issues its own license.

Step 4: Apply for the Martinsburg business license in person

Apply at Martinsburg Finance, 232 N Queen St, by calling 304-264-2131 ext 256 for licensing questions. The license costs $15 a year. A new business pays a prorated monthly amount for its first year. You apply in person at City Hall, for each location, after your state registration is complete. Ask Finance for the renewal date so you do not miss it.

Two other city items may apply to you. Itinerant vendors post a $500 deposit. The city also has a Downtown credit, but Finance sets its terms, so ask whether it applies to your address and what you must do to claim it.

Step 5: Confirm your city B&O classification

Call Finance at ext 247 for the B&O side. Describe your activity in plain terms and ask which class applies. The class sets your rate, and the rate is what makes the difference between a small bill and a large one. The schedule appears in the next section. Ask Finance how often you must file and pay, because the city sets that for you.

Step 6: Get a sales tax permit if you sell taxable goods

The state sales tax rate is 6%. Martinsburg has charged a 1% city sales tax since July 1, 2015, for a combined rate of 7%. Register through the Tax Division's business registration page at https://tax.wv.gov/Business/BusinessRegistration/Pages/BusinessRegistration.aspx. Confirm with the Tax Division which of your sales are taxable before you start selling.

Step 7: Ask about the weekly city service fee

Martinsburg levies a weekly per-worker city service fee. The amount was not confirmed for this article, so do not budget from any number you find elsewhere. Ask Finance for the current amount, when it starts for a new business, and whether it applies to an owner who works alone.

Step 8: Check trade-specific licenses

West Virginia licenses many trades at the state level, and the city license does not cover them. Check each applies to your work:

• Contractors: The Contractor Licensing Board requires a license for residential work above $5,000 or commercial work above $25,000. Check the fee with the Board.
• Electricians: The State Fire Marshal licenses electricians.
• Plumbers and HVAC technicians: The Division of Labor licenses these trades.
• Alcohol: The Alcohol Beverage Control Administration (ABCA) handles alcohol licensing.
• Food, hemp, kratom and pesticides: The West Virginia Department of Agriculture (WVDA) covers cottage food, hemp, kratom and pesticide work.

Confirm the fee and application process with each agency before you start the work.

Step 9: Calendar your recurring filings

An LLC files its annual report with the Secretary of State each year between January 1 and June 30. The fee is $25. A filing after June 30 costs $75 because of a $50 late fee. Put June 30 on your calendar the day you register. Also confirm your city license renewal date and your B&O filing schedule with Finance so neither lapses.

The B&O schedule, explained

The city B&O tax is levied per $100 of gross receipts. Gross receipts means the total money your business brings in, before expenses. It is not a tax on profit. The 2025 city schedule lists these rates:

Classification	Rate per $100	Tax on $50,000 gross receipts (illustrative)
Retail	0.45	$225.00
Wholesale	0.135	$67.50
Manufacturing	0.30	$150.00
Service	1.00	$500.00
Contracting	2.00	$1,000.00
Rents	1.00	$500.00

The last column is simple arithmetic on the 2025 rates, not a bill. Confirm your class and rate with Finance at ext 247. Ask what counts as gross receipts, whether any deduction applies, and whether the Downtown credit changes your bill.

The state business and occupation tax applies only to utilities. Shops, contractors and service firms pay the city version, so the Martinsburg schedule is the one that matters to most local businesses.

Working the Eastern Panhandle market

Berkeley County is the Eastern Panhandle's growth market, and Martinsburg is its county seat. That growth brings new customers, but it also means more competitors, so the licensing details above matter from your first sale. West Virginia has 55 counties and 230 incorporated places, including towns, cities and villages. Each one that you operate in can set its own rules, so register for the place where your location sits, not your mailing address.

If you serve customers in neighboring cities such as Charles Town or Ranson, check those municipalities separately. Each city levies its own license and B&O tax, so a Martinsburg license does not cover work in those cities. Martinsburg is also one of the 101 municipalities that add a 1% city sales tax today, and 107 municipalities will do so from January 1, 2027.

Tips that save time

• Call Finance before you visit. Ask for the exact paperwork and payment methods, and write down the name of the person who helps you.
• Register each location separately, both with the Tax Division and with the city.
• Choose your B&O class based on what you actually do, and confirm it in writing if Finance will provide it.
• Keep copies of your state certificate and city license at the business location.
• Set calendar reminders for June 30, your city renewal date and your B&O filing dates.

Common mistakes to avoid

• Treating the Secretary of State filing as your license. It is a filing, and the state certificate and city license are still required.
• Applying for the city license before you hold the state Business Registration Certificate.
• Assuming the state B&O tax covers your shop. It applies to utilities. The city B&O tax is the one that reaches shops, contractors and services.
• Using one certificate for several fixed locations. Each location needs its own.
• Guessing your B&O class. A retail rate of 0.45 and a service rate of 1.00 produce very different bills for the same revenue.
• Missing the June 30 annual report deadline, which raises an LLC's $25 fee to $75.
• Skipping trade licenses. Contractors above the thresholds, electricians, plumbers and HVAC technicians all have state rules.
• Quoting the 2025 city figures as current. Confirm them before you budget.

Expected results

Once you complete the steps above, your business is generally positioned to operate in Martinsburg with its state and city registrations in order. Results vary. The city license is a permission to operate, not a sign that your business will succeed, and it does not guarantee any particular tax outcome. Treat this article as a checklist, and confirm each item with the responsible agency before you rely on it.

When to get professional help

Consult a qualified West Virginia attorney about entity structure, contracts and personal liability. Consult a CPA about B&O planning, sales tax and how your structure interacts with your personal income tax. For tax year 2026, personal income tax rates run from 2.11% to 4.58%, and LLC members report their share of income on their personal returns.

Where to confirm the figures

• City of Martinsburg Finance, 232 N Queen St, 304-264-2131 (ext 256 for the business license, ext 247 for B&O)
• West Virginia Secretary of State: https://sos.wv.gov/business
• West Virginia Tax Division: https://tax.wv.gov/
• WV One Stop Business Portal: https://business4.wv.gov/
• West Virginia Small Business Development Center: https://wvsbdc.com/

This article is informational, not legal or tax advice. Confirm every fee, rate and deadline with the agency named before you file or pay.