51 states · 2026
The cheapest states to form an LLC
Checked November 4, 2026 · How we score
| # | State | First year | Filing fee | Annual fee | Income tax | Anonymous |
|---|---|---|---|---|---|---|
| 1 | AZArizona No annual report or franchise tax for LLCs. Arizona asks for periodic updates to the Corporation Commission only when contact information changes. | $50 | $50 | $0 | 2.5% | No |
| 2 | MSMississippi Annual report is required by April 15 but has no fee. | $50 | $50 | $0 | 4% | No |
| 3 | MOMissouri No annual report for LLCs; just file annual tax returns. | $50 | $50 | $0 | 4.7% | Yes |
| 4 | NMNew Mexico No annual report, franchise tax or annual fee for LLCs. | $50 | $50 | $0 | 5.9% | Yes |
| 5 | KYKentucky Annual report: $15, due by June 30 each year. | $55 | $40 | $15 | 3.5% | No |
| 6 | MTMontana Annual report: $20, due April 15 each year. | $55 | $35 | $20 | 5.65% | No |
| 7 | HIHawaii Annual return: $15, due by the end of the quarter containing your formation anniversary. | $65 | $50 | $15 | 11% | No |
| 8 | IAIowa Biennial report: $30, due April 1 of each odd-numbered year (≈$15 per year). | $65 | $50 | $15 | 3.8% | No |
| 9 | COColorado Periodic report: $25 each year, filed in the window from 3 months before to 2 months after your formation anniversary month. | $75 | $50 | $25 | 4.4% | No |
| 10 | MIMichigan Annual statement: $25, due February 15 each year. | $75 | $50 | $25 | 4.25% | No |
| 11 | UTUtah Annual renewal: $18, due by the last day of your formation anniversary month. | $77 | $59 | $18 | 4.5% | No |
| 12 | OHOhio No annual report or franchise tax for LLCs; Commercial Activity Tax (CAT) applies to larger businesses. | $99 | $99 | $0 | 2.75% | No |
| 13 | IDIdaho Annual report is mandatory but free; due by the end of your formation anniversary month. | $100 | $100 | $0 | 5.3% | No |
| 14 | NENebraska Biennial report: $13, due April 1 of each odd-numbered year (≈$6.50 per year). | $106.5 | $100 | $6.5 | 4.55% | No |
| 15 | SCSouth Carolina No annual report or franchise tax for LLCs unless taxed as a corporation. | $110 | $110 | $0 | 6% | No |
| 16 | INIndiana Business entity report: $31 every two years, due by the end of your formation anniversary month (≈$15.50 per year). | $110.5 | $95 | $15.5 | 2.95% | No |
| 17 | OKOklahoma Annual certificate: $25, due on your formation anniversary. | $125 | $100 | $25 | 4.5% | No |
| 18 | WVWest Virginia Annual report: $25, due July 1 each year. | $125 | $100 | $25 | 4.82% | No |
| 19 | PAPennsylvania Annual report: $7, due September 30 each year (required since 2025). | $132 | $125 | $7 | 3.07% | No |
| 20 | VAVirginia Annual registration fee: $50, due by the last day of the formation anniversary month. | $150 | $100 | $50 | 5.75% | No |
| 21 | MNMinnesota Annual renewal is required by December 31 but has no fee. | $155 | $155 | $0 | 9.85% | No |
| 22 | WIWisconsin Annual report: $25, due by the end of the calendar quarter containing your formation anniversary. | $155 | $130 | $25 | 7.65% | No |
| 23 | LALouisiana Annual report: $35, due on your formation anniversary date. Online card payments add a small service fee. Fees rose on October 1, 2026 (Act 921). | $160 | $125 | $35 | 3% | No |
| 24 | WYWyoming Annual report: $60 minimum license tax (0.02% of Wyoming-located assets, whichever is greater), due the first day of your formation anniversary month. | $160 | $100 | $60 | 0% | Yes |
| 25 | GAGeorgia Annual registration: $60, due April 1 each year. | $170 | $110 | $60 | 5.19% | No |
| 26 | NJNew Jersey Annual report: $75, due by the end of your formation anniversary month. | $175 | $100 | $75 | 10.75% | No |
| 27 | NDNorth Dakota Annual report: $50, due November 15 each year (formation date determines timing for new LLCs). | $185 | $135 | $50 | 2.5% | No |
| 28 | ARArkansas LLC franchise tax: $150 per year, due May 1. | $195 | $45 | $150 | 3.9% | No |
| 29 | CTConnecticut Annual report: $80, due March 31 each year. | $200 | $120 | $80 | 6.99% | No |
| 30 | NHNew Hampshire Annual report: $100, due April 1 each year. | $200 | $100 | $100 | 0% | No |
| 31 | OROregon Annual report: $100, due on your formation anniversary. | $200 | $100 | $100 | 9.9% | No |
| 32 | RIRhode Island Annual report: $50, filed between February 1 and May 1 each year. | $200 | $150 | $50 | 5.99% | No |
| 33 | VTVermont Annual report: $45, due within three months of fiscal year end (March 31 for calendar-year LLCs). | $200 | $155 | $45 | 8.75% | No |
| 34 | NYNew York Biennial statement: $9 every two years (≈$4.50 per year). New York LLCs also pay an annual LLC filing fee ($25–$4,500) based on New York-source gross income over $100,000, and must complete publication. | $204.5 | $200 | $4.5 | 10.9% | No |
| 35 | SDSouth Dakota Annual report: $55, due on the first day of your anniversary month. | $205 | $150 | $55 | 0% | No |
| 36 | KSKansas Annual report: $50, due April 15 (for calendar-year entities). | $210 | $160 | $50 | 5.58% | No |
| 37 | ILIllinois Annual report: $75, due before the first day of your formation anniversary month. | $225 | $150 | $75 | 4.95% | No |
| 38 | DCDistrict of Columbia Biennial report: $300, due April 1 of each odd-numbered year (≈$150 per year). | $249 | $99 | $150 | 10.75% | No |
| 39 | ALAlabama Annual Business Privilege Tax return: $50 minimum (scales with net worth), due April 15 with the federal return, plus the Certificate of Formation filed at the county probate office (about $100–$200 extra in practice). | $250 | $200 | $50 | 5% | No |
| 40 | MEMaine Annual report: $85, due June 1 each year. | $260 | $175 | $85 | 7.15% | No |
| 41 | FLFlorida Annual report: $138.75 due between January 1 and May 1 each year; a $400 late fee applies after May 1. | $263.75 | $125 | $138.75 | 0% | No |
| 42 | WAWashington Annual report: $70, due by the end of the formation anniversary month. Online formation fee is $200 ($180 paper). | $270 | $200 | $70 | 0% | No |
| 43 | AKAlaska Biennial report: $100 due every two years by January 2 following the reporting year (≈$50 per year). | $300 | $250 | $50 | 0% | No |
| 44 | TXTexas No annual fee. Franchise (margin) tax report and Public Information Report due May 15; no tax due if annualized total revenue is $2.65 million or less (2026 report year). | $300 | $300 | $0 | 0% | No |
| 45 | NCNorth Carolina Annual report: $200, due April 15 each year. | $325 | $125 | $200 | 3.99% | No |
| 46 | MDMaryland Annual report with personal property return: $300, due April 15 each year. | $400 | $100 | $300 | 6.5% | No |
| 47 | DEDelaware Annual LLC tax: $400 from tax year 2026 (was $300), due June 1; no annual report. Late payment adds a $200 penalty plus 1.5% monthly interest. | $510 | $110 | $400 | 6.6% | Yes |
| 48 | TNTennessee Annual report: $50 per member, $300 minimum and $3,000 maximum, due April 1. Filing fee is also $300 (minimum $50 per member, $3,000 max). | $600 | $300 | $300 | 0% | No |
| 49 | NVNevada Annual list ($150) plus state business license renewal ($200) = $350 per year, due the last day of your formation anniversary month. The $425 initial cost is $75 Articles of Organization + $150 initial list + $200 state business license. | $775 | $425 | $350 | 0% | No |
| 50 | CACalifornia $800 minimum franchise tax (Form 3522, due the 15th day of the 4th month after formation, then yearly) plus a $20 Statement of Information every two years. LLCs with California income above $250,000 also pay a gross-receipts fee ($900 to $11,790). | $870 | $70 | $800 | 13.3% | No |
| 51 | MAMassachusetts Annual report: $500 due on your formation anniversary (online filing); Massachusetts also levies a $456 minimum excise tax on LLCs taxed as corporations. | $1,000 | $500 | $500 | 9% | No |
Questions people ask
What is the cheapest state to start an LLC?
Montana ($35 filing, $20 annual), Kentucky ($40, $15) and New Mexico ($50, no annual report) are among the cheapest. Arkansas, Michigan and Missouri are also low.
Can I form an LLC in a cheap state if I live elsewhere?
You can, but if you do business in your home state you must also register there as a foreign LLC and pay its fees, so it rarely saves money for US residents. It does make sense for non-US residents.
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Not tax or legal advice. Rates and rules change; we check official sources and update every page, but verify with a licensed adviser in the country before acting. Spotted something out of date? Use the correction form below.