The exact dollar amount someone must pay to form a limited liability company (LLC) differs in each state. Registrants must pay a fee that ranges from $10 to $500 for Articles of Organization, known in some states as a Certificate of Formation.

Initial Fees

The initial fees for Articles of Organization range from a low of $10 in Tennessee, South Dakota and West Virginia to a high of $500 in Massachusetts. Most states charge fees in a range between $50 and $100.

Annual Fees

In addition to the upfront costs, most states require additional fees to be paid once a year or every two years. These fees range from lows of $5 to highs of $200 in Illinois and $500 in Massachusetts. Tennessee has a range of annual fees between $300 and $3,000. Some states, such as Iowa and Kansas, do not charge annual fees.

Taxes

Your tax liability for forming a limited liability company will vary depending on the state where you formed the LLC and a number of other factors. The federal government does not recognize LLCs for federal taxation purposes. Consult a tax professional.

Combined Upfront and Annual Costs

Low Articles of Organization fees do not necessarily mean the state will impose low annual fees, and high upfront fees do not mean high annual fees.

Additional Considerations

Final costs will include other requirements the state imposes. This includes any cost associated with prerequisites for who they allow to form a limited liability corporation.

Source:

LLC Facts and Glossary

How to Form an LLC

IRS Guide: Forming A Limited Liability Company

Resource:

Findlaw State Guide: Forms and Fees for Incorporation