LLC State Filing Fees, annual fees and taxes in All 50 States
Starting a business is an exciting but stressful task. There are steps to take and hoops to jump through, but the rewards of making your dreams a reality are worth the effort. Creating a Limited Liability Company (LLC) is one of the most crucial steps in starting a business. This can be a confusing and time-consuming process, but it doesn’t have to be; with Foundeck, setting up an LLC can be quick and easy. You can file your LLC in any of the 50 states, and the entire process will be seamless.
Forming an LLC requires paying a one-time fee to the state in question. In the US, LLC filing costs can vary from $40 to $500. To comprehend the costs associated with registering a corporation, individuals need to be aware of the LLC fees in each state. Numerous variables affect the price, including payroll, worker, compensation, cyber liability, business kind, etc.
The filing costs and annual recurring fees for domestic LLCs in each state are listed below.
List of LLC Filing Costs + Recurring Fees and Taxes by State
Alabama LLC State Fee:
The filing fee is $200. The recurring fee is $100 every year.
Pros of starting an LLC in Alabama
- Unlike many other states, Alabama only charges $200 for LLC formation.
- Members have flexibility in terms of arranging how the business is run and managed.
- Only individual members of an Alabama LLC are subject to taxes; the LLC as an entity is not taxed
Cons of starting an LLC in Alabama
- LLCs must file an annual report and pay a $100 charge to maintain active status.
Alaska LLC State Fee:
The filing fee is $250. The recurring fee is $100 every two years.
Pros of starting an LLC in Alabama
- Alaska does not levy a state income tax on individuals or corporations, offering possible tax savings for LLC members
- The state’s wealth of natural resources and business potential in industries like tourism, oil and gas, fishing, and tourism can be appealing to some companies.
Cons of starting an LLC in Alabama
- Due to its distant location and harsh climate, Alaska may have greater operational costs for enterprises, particularly for energy and transportation.
- The market’s size and growth potential may be constrained by the state’s relatively small population
Arizona State LLC Fee:
The filing fee is $50. The recurring fee is $0 (an informational report does not need to be filed).
Pros
- Pass-through taxation is available to LLCs, meaning that business profits and losses are reported on members’ individual tax returns to prevent double taxation
- LLCs can select between manager-managed and member-managed structures in Arizona
Cons
- Arizona LLCs must file an annual report and pay a filing fee
- Members of an Arizona LLC are liable for self-employment tax on their portion of the business’s profits
Arkansas State LLC Fee:
The filing fee is $45. The recurring fee is $150 every year.
Pros of Arkansas LLC
- Unlike other states, Arkansas only charges a $50 filing fee to incorporate an LLC
- LLC rules in Arkansas are simple, require less compliance, and permit customizable management
- Personal income is not taxed in Arkansas.
Cons of Arkansas LLC
- To keep their status, LLCs must file an annual report and pay a $150 charge.
California State LLC Fee:
The filing fee is $70. The recurring fee is $800 every year and a $20 statement of information every 2 years.
Pros of California LLC
- LLCs can opt to be manager-managed or member-managed
- You avoid double taxation because LLCs are not taxed at the entity level to keep their status, LLCs must file an annual report and pay a $150 charge.
Cons of California LLC
- California imposes an annual minimum $800 franchise tax for LLCs, which is greater than most other states
- California has tougher operational compliance requirements for LLCs than most other states
Colorado State LLC Fee:
The filing fee is $50. The recurring fee is $10 every year.
Pros of Colorado LLC
- Colorado location may provide credibility and facilitate the recruitment of personnel
- Compared to many other states, Colorado offers LLCs a fixed income tax rate of 4.55%
Cons of Colorado LLC
- Strict laws and regulations, such as annual reports, must be followed in Colorado
Connecticut State LLC Fee:
The filing fee is $120. The recurring fee is $80 every year.
Pros of Connecticut LLC
- Connecticut allows for a flexible management structure, enabling members to pick how they want to run the business
- Connecticut offers a business-friendly environment with access to a competent workforce and proximity to key markets
Cons of Connecticut LLC
- Connecticut has considerably higher initial creation charges and annual reporting fees
- LLCs in Connecticut must file an annual report
Delaware State LLC Fee:
The filing fee is $89. The recurring fee is $300 franchise tax every year.
Pros of Delaware LLC
- Business-friendly laws and courts
- No personal income tax, sales tax or business inventory tax
- Privacy laws that protect the identities of LLC member
Cons of Delaware LLC
- Must have a registered agent in Delaware
- Annual franchise tax
- Renewal required every year
Florida LLC State filing fee:
The filing fee is $125. The recurring fee is $138.75 every year.
Pros of Florida LLC
- Allows a low initial investment
- No personal income tax, franchise tax, or business inventory tax
Cons of Florida LLC
- Each LLC needs to choose a registered agent
- Each LLC must renew annually
- It might be challenging to maintain the confidentiality of your company information.
Georgia State LLC Fee:
The filing fee is $100. The recurring fee is $50 every year.
Pros of Georgia LLC
- Georgia is renowned for its pro-business environment, providing a range of incentives, a developing economy, and easy access to a trained labor pool.
- Pass-through taxation is available to Georgia LLCs, meaning that business profits and losses are reported on the individual tax returns of the members
Cons of Georgia LLC
- LLCs operating in Georgia may be subject to particular regulatory restrictions and compliance standards.
- Georgia LLCs must file an annual report and pay the associated cost and this can be a continuous financial and administrative burden
Hawaii State LLC Fee:
The filing fee is $50. The recurring fee is $15 every year.
Pros of Hawaii LLC
- Hawaii’s robust tourist sector offers business prospects in the travel and hospitality industries, among other related sectors.
Cons of Hawaii LLC
- Hawaii has among the highest cost of living in the country, which can affect both individual and corporate spending.
Idaho State LLC Fee:
The filing fee is $100. The recurring fee is $0 (an informational report must be filed every year).
Pros of Idaho LLC
- Pass-through taxation is an option for Idaho LLCs looking to avoid corporation taxes.
- Idaho does not mandate that LLC management or members be made publicly available.
Cons of Idaho LLC
- Idaho provides fewer networking opportunities and assistance initiatives for new enterprises due to its lower population.
- LLC owners have more tax obligations because they are required to pay Medicare and Social Security taxes on their portion of profits.
Illinois State LLC Fee:
The filing fee is $150. The recurring fee is $75 every year.
Pros of Illinois LLC
- LLCs in Illinois have the option of manager-managed or member-managed arrangements.
Cons of Illinois LLC
- Illinois LLCs must submit an annual report and pay a related charge
- Illinois charges a hefty first filing fee when forming an LLC
Indiana State LLC Fee:
The filing fee is $95. The recurring fee is $30 every two years.
Pros of Indiana LLC
- LLCs in Indiana benefit from pass-through taxes.
- LLCs in Indiana have the option of manager-managed or member-managed arrangements.
Cons of Indiana LLC
- State income tax is payable by each LLC member on their portion of the business’s profits.
- LLCs in Indiana are obliged to submit a biennial report and pay a fee.
Iowa State LLC Fee:
The filing fee is $50. The recurring fee is $45 every two years.
Pros of Iowa LLC
- In Iowa, LLCs are usually taxed as pass-through businesses, which makes tax administration easier by directing income and losses to the individual tax returns of members.
Cons of Iowa LLC
- The initial LLC formation filing fees in Iowa are greater than the national average.
- LLCs in Iowa are required to pay a fee and file a biennial report
Kansas State LLC Fee:
The filing fee is $160. The recurring fee is $50 every year.
Pros of Kansas LLC
- Kansas LLCs are free to select their tax treatment, such as being treated as pass-through businesses to evade corporation taxes.
- Kansas does not require formal management boards or annual meetings, and it permits single-member LLCs.
Cons of Kansas LLC
- Although LLCs are exempt from corporation taxes, members of LLCs in Kansas are subject to higher individual income tax rates, which range from 3.1% to 5.7%.
- Kansas limits privacy by requiring managers and LLC members to be identified in the organization’s articles.
Kentucky State LLC Fee:
The filing fee is $40. The recurring fee is $15 every year.
Pros Kentucky LLC
- In Kentucky, the initial registration fee to establish an LLC is only $40.
- LLCs are not required to pay corporate income tax in Kentucky.
- Kentucky permits LLCs to use unique management structures.
Cons of Kentucky LLC
- In order to keep their LLC registration, members must make an annual report and pay a filing fee of $15.
Louisiana State LLC Fee:
The filing fee is $100. The recurring fee is $35 every year.
Pros of Louisiana LLC
- LLCs in Louisiana benefit from pass-through taxes.
- LLCs are permitted to have a flexible management structure in Louisiana.
Cons of Louisiana LLC
- LLCs are subject to a franchise tax in Louisiana, which is calculated by total assets.
- Louisiana LLCs must submit an annual report and pay the associated cost.
Maine State LLC Fee:
The filing fee is $175. The recurring fee is $85 every year.
Pros of Maine LLC
- Maine provides limited liability protection for LLC members
- Maine has relatively straightforward compliance and reporting requirements for LLCs
- LLCs in Maine are typically taxed as pass-through entities
Cons of Maine LLC
- Maine’s initial filing fees for LLC formation can be relatively high
- LLCs in Maine must file an annual report and pay a fee
Maryland State LLC fee:
The filing fee is $100. The recurring fee is $300 every year.
Pros of Maryland LLC
- Maryland offers a friendly corporate environment, easy access to a highly educated workforce, and close proximity to important markets.
- Maryland LLCs are flexible in their operational operations and management structure.
Cons of Maryland LLC
- LLCs in Maryland are subject to a yearly franchise tax, which is determined by the gross income of the LLC.
- LLCs must comply with specific reporting requirements in Maryland, which include filing fees and yearly reports.
Massachusetts State LLC Fee:
The filing fee is $500. The recurring fee is $500 every year.
Pros of Massachusetts LLC
- Massachusetts has a strong economy thanks to its close proximity to important markets, highly qualified labor force, and esteemed universities.
Cons of Massachusetts LCC
- Compared to the national average, Massachusetts charges greater initial filing fees for LLC creation.
- In Massachusetts, LLCs are required to submit an annual report and pay a corresponding charge.
Michigan State LLC Fee:
The filing fee is $50. The recurring fee is $25 every year.
Pros of Michigan LLC
- In Michigan, LLCs provide a flexible management structure that lets members select between manager-managed and member-managed arrangements.
- Pass-through taxation, which allows firm income and losses to be reported on the owners’ individual tax returns, is advantageous for Michigan LLCs.
Cons of Michigan LLC
- LLCs in Michigan are required to submit an annual report and pay a related charge.
- Self-employment taxes may apply to members of a Michigan LLC based on their portion of the business’s profits
Minnesota State LLC Fee:
The filing fee is $50. The recurring fee is $0 (an informational report must be filed every year).
Pros of Minnesota LLC
- Members of LLCs in Minnesota can change their management structure and operational protocols.
- Traditional LLCs are not subject to income tax in Minnesota.
Cons of Minnesota LLC
- Based on their profits, LLCs in Minnesota are subject to a franchise tax, which can be very costly for LLCs with larger earnings.
Mississippi State LLC Fee:
The filing fee is $50. The recurring fee is $0 (an informational report must be filed every year).
Pros of Mississippi LLC
- Compared to other states, Mississippi has fewer reporting and operational requirements for LLCs.
- The lack of a state income tax in Mississippi is advantageous for LLC owners.
Missouri State LLC fee:
The filing fee is $50 or $105 by mail. The recurring fee is $0 (an informational report does not need to be filed).
Pros of Missouri LLC
- Is renowned for its business-friendly environment, which includes reduced operating expenses, a trained labor force, and easy access to important markets.
- In contrast to several states, Missouri does not charge LLCs a franchise tax
Cons of Missouri LLC
- LLCs in Missouri must file an annual report and pay a fee.
Montana State LLC Fees:
The filing fee is $35. The recurring fee is $20 every year.
Pros of Montana LLC
- The state does not impose a sales tax, which may result in tax savings for companies selling goods and services.
- Montana permits the use of nominee officers and directors, increasing privacy and enhancing confidentiality for LLC owners.
Cons of Montana LLC
- The state’s small population may limit the market size and growth potential for some companies.
Nebraska State LLC Fees:
The filing fee is $105. The recurring fee is $10 every two years.
Pros of Nebraska LLC
- LLCs are not subject to a franchise tax by the state.
- For entrepreneurs and small enterprises, Nebraska offers inexpensive initial filing fees for LLC formation.
Cons of Nebraska LLC
- Due to its tiny population, Nebraska may not have as large of a market or as much room for expansion as other states.
Nevada State LLC Fee:
The filing fee is $425. The recurring fee is $350 every year.
Pros of Nevada LLC
- A Nevada LLC’s owners or board members are not identified in the public domain, so if the LLC is sued, there is no personal relationship.
Cons of Nevada LLC
- In Nevada, when a member files for bankruptcy or dies, the LLC is immediately dissolved. This implies that you might wish to become a corporation instead if you want to go public or issue shares to employees.
New Hampshire LLC Fee:
The filing fee is $100. The recurring fee is $100 every year.
Pros of New Hampshire LLC
- New Hampshire’s economy is robust and diverse, and it offers business-friendly conditions and a workforce with a high level of education.
- Businesses may be able to save money on taxes because New Hampshire does not have a state income tax or sales tax.
Cons of New Hampshire LLC
- LLCs are required to submit a yearly report and pay a related charge.
New Jersey LLC State filing fees:
The filing fee is $125. The annual recurring fee is $75 every year.
Pros of New Jersey LLC
- Adaptable choices for management structures
Cons OF New Jersey LLC
- Filing annual reports is required, which increases administrative work.
New Mexico LLC State filing fee:
The filing fee $50. The recurring fee is $0 (an informational report does not need to be filed).
Pros of New Mexico LLC
- LLCs are exempt from the state’s franchise tax, which lowers business owners’ tax obligations.
Cons of New Mexico LLC
- In New Mexico, LLCs are required to submit an annual report and pay a related charge.
- Due to its limited population, New Mexico may not have as large of a market as it could for some enterprises.
New York LLC State filing fee:
New York LLC filing fee is $200. The recurring fee is $9 every two years.
Pros of New York LLC
- LLCs give members a flexible management structure so they can decide how to operate the company.
- Personal assets are usually protected from company obligations and debts, lowering personal financial risk.
Cons of New York LLC
- Strict publication requirements and annual report requirements are among the many compliance requirements in New York.
North Carolina LLC State filing fee:
The filing fee is $125. The recurring fee is $200 every year.
Pros of North Carolina LLC
- LLCs give members management freedom by letting them select between manager-managed and member-managed organizational structures.
Cons of North Carolina LLC
- LLCs in North Carolina must submit an annual report and pay a filing fee.
- An LLC has a finite lifespan in North Carolina, and in order to maintain the organization once members leave or new ones join, more documentation and legal actions may be necessary.
North Dakota LLC State filing fee:
The filing fee is $135. The recurring fee is $50 every year.
Pros of North Dakota LLC
- North Dakota offers cheap LLC filing costs and no state income tax.
- Unlike other states, North Dakota offers additional anonymity to LLC members since it does not require them to be publicly reported.
Cons of North Dakota LLC
- In North Dakota, LLCs are required to submit an annual report and pay a corresponding charge.
- Compared to larger states, North Dakota offers fewer networking and support resources for entrepreneurs due to its tiny population.
Ohio LLC State filing fee:
The filing fee is $99. The recurring fee is $0 (an informational report does not need to be filed).
Pros of Ohio LLC
- In Ohio, LLCs are exempt from paying an annual fee or filing an annual report
- LLCs have the option of being taxed as corporations or as pass-through entities.
- Compared to corporations, LLCs have less reporting and recordkeeping obligations.
Cons of Ohio LLC
- Corporations and LLCs are subject to Ohio’s business activity tax; partnerships and sole proprietorships are not.
- More self-employment taxes are frequently paid by LLC owners than by company stockholders.
Oklahoma LLC State filing fee:
The filing fee is $100. The recurring fee is $25 every year.
Pros of Oklahoma LLC
- Oklahoma offers members a choice in how to structure the operations and management of an LLC
- Has lower LLC taxes than most states, including no personal income tax.
Oregon LLC State filing fee:
The filing fee is $100. The recurring fee is $100 every year.
Pros of Oregon LLC
- Oregon has a Business Registry that makes the LLC creation filing procedure more convenient and effective.
- Businesses involved in retail or the sale of products and services may benefit from the state’s lack of a sales tax.
Cons of Oregon LLC
- Compared to some other states, Oregon has a somewhat higher first LLC filing charge, which may be a financial factor for companies.
- In Oregon, LLCs must submit an annual report and pay a related charge.
Pennsylvania State filing fee:
The filing fee is $125. The recurring fee is $70 every 10 years.
Pros of Pennsylvania LLC
- Pennsylvania keeps the registration procedure simple by not requiring LLCs to announce their establishment in local newspapers
- LLCs that offer professional and creative services are free from sales tax.
Cons of Pennsylvania LLC
- In Pennsylvania, forming an LLC costs more than $250, including filing and publication expenses.
- Pennsylvania has the third-highest corporate net income tax rate in the US, 9.99%, which applies to LLC revenue.
Rhode Island LLC State filing fee:
The filing fee is $150. The recurring fee is $50 every year.
Pros of Rhode Island LLC
- LLC compliance and reporting standards in Rhode Island are simple, which makes it easy for business owners to keep their businesses up to date.
- In Rhode Island, LLCs are usually subject to pass-through entity taxes.
Cons of Rhode Island LLC
- When compared to several other states, Rhode Island has comparatively higher initial filing fees for LLC formation.
- In Rhode Island, LLCs are required to submit an annual report and pay a fee.
South Carolina LLC State filing fee:
The filing fee is $110. The recurring fee is $0 (an informational report must not be filed).
Pros of South Carolina LLC
- LLCs can opt to be treated as a partnership, S corporation, or C corporation in South Carolina, giving them tax flexibility
- In South Carolina, forming an LLC is a fairly simple process that requires little in the way of administrative formalities and modest startup expenditures.
Cons of South Carolina LLC
- In South Carolina, LLCs must submit an annual report and pay related costs.
- A yearly LLC franchise tax is levied by South Carolina according to the capital or net value of the LLC.
South Dakota State filing fee:
The filing fee is $150. The recurring fee is $50 every year.
Pros of South Dakota LLC
- By allowing the use of nominee officers and directors, South Dakota enhances anonymity for LLC owners and permits greater privacy.
Cons of South Dakota LLC
- Businesses needing convenient access to larger markets may face logistical hurdles due to the state’s remote position from major metropolitan regions.
Tennessee LLC State filing fee:
The filing fee is $300. The recurring fee is $300 every year.
Pros of Tennessee LLC
- There is no state income tax on earned income for individuals in Tennessee.
- Tennessee is renowned for having an expanding economy, a business-friendly environment, and easy access to large markets.
Cons of Tennessee LLC
- LLCs are subject to a franchise and excise tax in Tennessee, which is determined by the net worth or net earnings of the business.
- Tennessee LLCs must submit an annual report to the Secretary of State and pay the associated cost.
Texas State filing fee
The state filing fee is $300. The recurring fee is $0 (an informational report does not need to be filed).
Pros of Texas LLC
- Generally easy to organize because the LLC requires less administrative work than a corporation
Cons of Texas LLC
- The $300 filing charge is one of the main drawbacks of forming a Texas LLC
Utah LLC State filing fee:
Utah State filing fee is $70. The recurring fee is $20 every year.
Pros of Utah LLC
- Utah is renowned for its pro-business climate, which includes low taxes, few restrictions, and a strong emphasis on entrepreneurship.
Cons of Utah LLC
- LLCs must submit an annual report to Utah and pay a fee.
Vermont State filing fee:
Vermont LLC state filing fee is $125. The recurring fee is $35 every year.
Pros of Vermont LLC
- Members are shielded from personal liability for corporate debt; LLC income is distributed to members, resulting in a single tax layer (as opposed to corporations that pay double taxation).
- Simpler to establish than a corporation and with laxer regulations
Cons of Vermont LLC
- In Vermont, LLCs are a relatively new legal formation, therefore the legislation is continuously changing. K km
Virginia LLC State filing fee:
The filing fee is $100. The recurring fee is $50 every year.
Pros of Virginia LLC
- Compared to corporations, LLCs require fewer operating resources and are not subject to entity-level taxation.
Cons of Virginia LLC
- If a member quits or dies, the LLC may be dissolved, therefore continuity planning is crucial.
Washington State filing fee:
The filing fee is $200. The recurring fee is $60 every year.
Pros of Washington LLC
- Profits and losses are passed down to the owners of LLCs because they are not taxed as an entity. Members may choose to operate the LLC themselves or designate managers.
Cons of Washington LLC
- To keep the LLC in operation, recurring annual fees and taxes must be paid.
Washington DC filing fee:
The fee is $99. The recurring fee is $300 every two years.
Pros of Washington DC LLC
- D.C. offers access to a multitude of resources, such as government contracts, networking opportunities, and support services for startups and small enterprises.
- The central position of Washington, D.C., together with its close proximity to federal agencies and lawmakers can be beneficial for firms seeking to interact with the government or access a variety of markets.
Cons of Washington DC LLC
- Rent and other running costs, as well as living expenses, are comparatively expensive in Washington, D.C.
- Certain industries in Washington, D.C. are subject to unique rules and license requirements, which can make navigation challenging and time-consuming.
West Virginia State filing fee:
The state filing fee is $100. The recurring fee is $25 every year.
Pros of Virginia LLC
- LLCs are not subject to a franchise tax by the state.
Cons of Virginia LLC
- In West Virginia, LLCs are required to submit an annual report and pay a corresponding charge.
- West Virginia’s comparatively small market and lower income levels may limit the state’s potential for company expansion.
Wisconsin LLC State filing fee:
The filing fee is $130. The recurring fee is $25 every year.
Pros of Wisconsin LLC
- Wisconsin income tax does not apply to LLCs with a single owner.
Cons
- In Wisconsin, the tax structure for LLCs with many owners can be more intricate.
Wyoming State LLC filing fee:
The filing fee is $50. The recurring fee is $60 every year.
Pros of Wyoming LLC
- Wyoming does not impose personal income tax or company taxes on corporations or LLCs.
- You can create an LLC in Wyoming even if you don’t live there.
Cons of Wyoming LLC
- Non-resident LLC owners must register their Wyoming LLC as a foreign LLC in their home state. Consequently, the non-resident is required to pay filing and annual fees to both the home state of Wyoming and Wyoming.
Conclusion
LLC state filing fees are a critical consideration for entrepreneurs embarking on the journey of establishing a limited liability company. The cost of filing and maintaining an LLC can vary significantly depending on the state's regulatory environment and policies. By understanding the factors that influence these fees and implementing effective strategies to manage costs, business owners can make informed decisions that align with their financial goals.
It's crucial to conduct thorough research, weigh the pros and cons of different states, and carefully plan the filing process to ensure a smooth and cost-effective establishment of an LLC.