IRA LLC

LLC state filings and fees

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Each state has its own rules for the filings, fees, and taxes that are required to establish an LLC and keep the LLC in good standing.

LLC formation fees

All states charge a fee to register an LLC and file Articles of Organization (or similar document).

The cost of LLC formation will be calculated as part of your plan formation fee during the application process.

The formation fees listed below include the state fee for all required filings plus any additional processing or payment fees assessed by the state.

Filing is completed online when available. For states that require mailed applications, the cost of USPS Priority Mail is added to and included in the state fee.

Periodic reports and franchise taxes

Some states require periodic reporting to confirm the ownership, management, and address of the LLC are current and accurate. Reports may be required annually or biennially and may or may not have an associated fee.

A handful of states charge a franchise or privilege tax in addition to or instead of a periodic report. In most all cases, the IRA-owned LLC will be exempt from the income component of the franchise tax and will only be required to pay the minimum tax. When a franchise tax applies, we strongly recommend you consult with a competent tax advisor in the state of LLC registration to ensure you understand and comply with the tax obligations of your IRA LLC.

Payment of fees

Per IRS rules, it is acceptable for you as the IRA account holder to pay for our services to create your IRA LLC. The entity is not yet capitalized by your IRA and deemed an asset of the IRA.

Any future fees for periodic reports or franchise taxes must be paid from the LLC. You may not personally pay expenses of the LLC once it is owned by your IRA without violating IRS rules.

State filings and fees

Alabama

Fees: Formation $236 | Yearly $0
Note: Business Privilege Tax applies, but most IRA LLCs are exempt.
More: What are Alabama IRA LLC compliance requirements?

Alaska

Fees: Formation $300 | Yearly $100
Note: $100 Biennial Report due January 2 every two years, plus a $50 Alaska Business License each year. Your filing year is set by your formation year, so an LLC formed in an even year files in even years.
More: What are Alaska IRA LLC compliance requirements?

Arizona

Fees: Formation $85 | Yearly $0
Note: No annual report and no state tax. An LLC that makes no filings for two years receives an Attestation of Existence notice and is dissolved if it does not respond within 60 days.
More: What are Arizona IRA LLC compliance requirements?

Arkansas

Fees: Formation $45 | Yearly $150
Note: $150 franchise tax due May 1 each year.
More: What are Arkansas IRA LLC compliance requirements?

California

Fees: Formation $95 | Yearly $810
Note: $800 minimum franchise tax due April 15 each year. $20 Statement of Information due every two years by the last day of your anniversary month. The first $800 payment is due within about three and a half months of formation.
More: What are California IRA LLC compliance requirements?

Colorado

Fees: Formation $50 | Yearly $25
Note: $25 Periodic Report due each year by the last day of the second month after your anniversary month.
More: What are Colorado IRA LLC compliance requirements?

Connecticut

Fees: Formation $120 | Yearly $80
Note: $80 Annual Report due March 31 each year.
More: What are Connecticut IRA LLC compliance requirements?

Delaware

Fees: Formation $110 | Yearly $300
Note: $300 Annual LLC Tax due June 1 each year.
More: What are Delaware IRA LLC compliance requirements?

District of Columbia

Fees: Formation $99 | Yearly $150
Note: $300 Two-Year Report due April 1 every two years. Unincorporated Business Franchise Tax applies, but most IRA LLCs are exempt. The two-year cycle is set by your formation year, so an LLC formed in an odd year files in odd years.
More: What are District of Columbia IRA LLC compliance requirements?

Florida

Fees: Formation $125 | Yearly $138.75
Note: $138.75 Annual Report due May 1 each year.
More: What are Florida IRA LLC compliance requirements?

Georgia

Fees: Formation $100 | Yearly $50
Note: $50 Annual Registration due April 1 each year. The annual registration can be prepaid up to three years at the same rate.
More: What are Georgia IRA LLC compliance requirements?

Hawaii

Fees: Formation $51 | Yearly $12.50
Note: $12.50 Annual Report due each year by the last day of the calendar quarter containing your registration date.
More: What are Hawaii IRA LLC compliance requirements?

Idaho

Fees: Formation $100 | Yearly $0
Note: Annual Report due each year by the last day of your anniversary month, no fee.
More: What are Idaho IRA LLC compliance requirements?

Illinois

Fees: Formation $153 | Yearly $75
Note: $75 Annual Report due each year by the last day of the month before your anniversary month.
More: What are Illinois IRA LLC compliance requirements?

Indiana

Fees: Formation $97 | Yearly $16
Note: $32 Business Entity Report due every two years by the last day of your anniversary month.
More: What are Indiana IRA LLC compliance requirements?

Iowa

Fees: Formation $50 | Yearly $15
Note: $30 Biennial Report due April 1 of odd-numbered years.
More: What are Iowa IRA LLC compliance requirements?

Kansas

Fees: Formation $85 | Yearly $50
Note: $100 Biennial Information Report due April 15 every two years.
More: What are Kansas IRA LLC compliance requirements?

Kentucky

Fees: Formation $40 | Yearly $190
Note: $175 minimum Limited Liability Entity Tax each year. $15 Annual Report due June 30 each year.
More: What are Kentucky IRA LLC compliance requirements?

Louisiana

Fees: Formation $105 | Yearly $35
Note: $35 Annual Report due each year by your formation anniversary date.
More: What are Louisiana IRA LLC compliance requirements?

Maine

Fees: Formation $197 | Yearly $85
Note: $85 Annual Report due June 1 each year.
More: What are Maine IRA LLC compliance requirements?

Maryland

Fees: Formation $103 | Yearly $300
Note: $300 Annual Report due April 15 each year. Personal Property Tax applies, but most IRA LLCs are exempt.
More: What are Maryland IRA LLC compliance requirements?

Massachusetts

Fees: Formation $520 | Yearly $520
Note: $520 Annual Report due each year by your formation anniversary date.
More: What are Massachusetts IRA LLC compliance requirements?

Michigan

Fees: Formation $50 | Yearly $25
Note: $25 Annual Statement due February 15 each year.
More: What are Michigan IRA LLC compliance requirements?

Minnesota

Fees: Formation $155 | Yearly $0
Note: Annual Renewal due December 31 each year, no fee.
More: What are Minnesota IRA LLC compliance requirements?

Mississippi

Fees: Formation $53 | Yearly $0
Note: Annual Report due April 15 each year, no fee.
More: What are Mississippi IRA LLC compliance requirements?

Missouri

Fees: Formation $51.25 | Yearly $0
Note: No annual report and no state tax.
More: What are Missouri IRA LLC compliance requirements?

Montana

Fees: Formation $35 | Yearly $0
Note: Annual Report due April 15 each year, no fee.
More: What are Montana IRA LLC compliance requirements?

Nebraska

Fees: Formation $103 | Yearly $12.50
Note: $25 Biennial Report due April 1 of odd-numbered years. A Notice of Organization must be published in a legal newspaper for three consecutive weeks, billed by the newspaper at roughly $40 to $500.
More: What are Nebraska IRA LLC compliance requirements?

Nevada

Fees: Formation $435 | Yearly $350
Note: $150 Annual List due each year by the last day of your anniversary month, plus a $200 State Business License each year.
More: What are Nevada IRA LLC compliance requirements?

New Hampshire

Fees: Formation $102 | Yearly $100
Note: $100 Annual Report due April 1 each year. Business Profits Tax and Business Enterprise Tax apply, but most IRA LLCs are exempt.
More: What are New Hampshire IRA LLC compliance requirements?

New Jersey

Fees: Formation $128 | Yearly $75
Note: $75 Annual Report due each year by the last day of your anniversary month. Partnership Filing Fee applies, but most IRA LLCs are exempt.
More: What are New Jersey IRA LLC compliance requirements?

New Mexico

Fees: Formation $51.95 | Yearly $0
Note: No annual report and no state tax.
More: What are New Mexico IRA LLC compliance requirements?

New York

Fees: Formation $200 | Yearly $4.50
Note: $9 Biennial Statement due every two years by the last day of your anniversary month. Annual Filing Fee applies, but most IRA LLCs are exempt. A newspaper publication is required within 120 days of formation and runs roughly $350 to $1,175 depending on county.
More: What are New York IRA LLC compliance requirements?

North Carolina

Fees: Formation $128 | Yearly $203
Note: $203 Annual Report due April 15 each year.
More: What are North Carolina IRA LLC compliance requirements?

North Dakota

Fees: Formation $135 | Yearly $50
Note: $50 Annual Report due November 15 each year.
More: What are North Dakota IRA LLC compliance requirements?

Ohio

Fees: Formation $99 | Yearly $0
Note: Commercial Activity Tax applies, but most IRA LLCs are exempt.
More: What are Ohio IRA LLC compliance requirements?

Oklahoma

Fees: Formation $104 | Yearly $25
Note: $25 Annual Certificate due each year by your formation anniversary date.
More: What are Oklahoma IRA LLC compliance requirements?

Oregon

Fees: Formation $100 | Yearly $100
Note: $100 Annual Report due each year by your formation anniversary date. Corporate Activity Tax applies, but most IRA LLCs are exempt.
More: What are Oregon IRA LLC compliance requirements?

Pennsylvania

Fees: Formation $125 | Yearly $7
Note: $7 Annual Report due September 30 each year.
More: What are Pennsylvania IRA LLC compliance requirements?

Puerto Rico

Fees: Formation $250 | Yearly $150
Note: $150 Annual Dues Statement due April 15 each year.
More: What are Puerto Rico IRA LLC compliance requirements?

Rhode Island

Fees: Formation $156 | Yearly $452.50
Note: $400 minimum annual charge each year. $52.50 Annual Report due May 1 each year. Form RI-1065 must be filed even in a year with no income.
More: What are Rhode Island IRA LLC compliance requirements?

South Carolina

Fees: Formation $125 | Yearly $0
Note: Business Personal Property Tax applies, but most IRA LLCs are exempt.
More: What are South Carolina IRA LLC compliance requirements?

South Dakota

Fees: Formation $153.68 | Yearly $50
Note: $50 Annual Report due each year by the first day of your anniversary month.
More: What are South Dakota IRA LLC compliance requirements?

Tennessee

Fees: Formation $306.87 | Yearly $300
Note: $300 Annual Report due April 1 each year. Franchise and Excise Tax applies, but most IRA LLCs are exempt. The franchise tax exemption is not automatic and must be applied for each year.
More: What are Tennessee IRA LLC compliance requirements?

Texas

Fees: Formation $308.10 | Yearly $0
Note: Public Information Report due May 15 each year, no fee. Franchise tax applies, but most IRA LLCs are exempt.
More: What are Texas IRA LLC compliance requirements?

Utah

Fees: Formation $59 | Yearly $18
Note: $18 Annual Renewal due each year by the last day of your anniversary month.
More: What are Utah IRA LLC compliance requirements?

Vermont

Fees: Formation $155 | Yearly $45
Note: $45 Annual Report due March 31 each year. Business Entity Income Tax applies, but most IRA LLCs are exempt.
More: What are Vermont IRA LLC compliance requirements?

Virginia

Fees: Formation $100 | Yearly $50
Note: $50 Annual Registration Fee due each year by the last day of your anniversary month.
More: What are Virginia IRA LLC compliance requirements?

Washington

Fees: Formation $200 | Yearly $70
Note: $70 Annual Report due each year by the last day of your anniversary month. Business and Occupation (B&O) Tax applies, but most IRA LLCs are exempt. A Washington Business License may be required based on investment type.
More: What are Washington IRA LLC compliance requirements?

West Virginia

Fees: Formation $131 | Yearly $26
Note: $26 Annual Report due June 30 each year.
More: What are West Virginia IRA LLC compliance requirements?

Wisconsin

Fees: Formation $131 | Yearly $25
Note: $25 Annual Report due each year by the last day of the calendar quarter containing your anniversary.
More: What are Wisconsin IRA LLC compliance requirements?

Wyoming

Fees: Formation $100 | Yearly $60
Note: $60 minimum Annual Report License Tax due each year by the first day of your anniversary month. LLCs with more than $300,000 in Wyoming assets pay more than the minimum amount.
More: What are Wyoming IRA LLC compliance requirements?

Accuracy of data

Be advised that state legislatures periodically change filing requirements or fees. We regularly review and update this data, but cannot guarantee 100% accuracy.

Disclosure

This information is provided for educational purposes only and should not be interpreted as tax, legal, or investment advice. Readers are encouraged to consult a qualified professional who can offer guidance based on their personal situation.

Common questions

How will I know when to file reports or tax returns for my LLC?+
View the knowledge base article for your state for details about required filings and deadlines.
Some states will send reminders by email or postal mail, but this is not always reliable.  It is your responsibility to file whether you receive a reminder or not.
We highly recommend you create calendar reminders well in advance of any filing events for your LLC.
What happens if I fail to file a periodic report or tax return?+

State rules vary, but the general principle is that an LLC must comply with state filing, fee, and tax requirements to remain in good standing. 

An LLC that is not in good standing may encounter the following issues:

- Administrative dissolution of the LLC by the state.  Filings and fees will then be required to reinstate the LLC.
- Loss of limited liability protections and standing before courts of the state.
- Inability to execute certain transactions like the purchase or sale of real property.
- Inability to open bank accounts or other financial accounts.
Can I pay state fees and taxes personally?+

No.  After initial formation and investment into the LLC by the IRA, you may not pay any expenses of the LLC personally.

My state has high fees. Should I file in another state?+

An LLC is most effective when registered in the state where real estate is held.  This provides the full benefits of liability protection and access to the courts of the state.

If you file an LLC in a low-cost state, you may be required to file a foreign entity registration in the state where property is held.  This can result in managing filings and paying fees in two states.

The California Franchise Tax, for example, applies to all LLCs doing business in California, regardless of where the LLC is registered.

In some cases where the state filing obligations and/or fees are burdensome, it may make sense to choose the IRA Trust format instead.  The trust will not provide the same level of liability protection, but that can be compensated for to some degree with quality insurance.  We recommend you consult with competent legal counsel to evaluate potential risks and benefits of choosing a trust instead of an LLC if you will be investing in real estate with your IRA.

If you are not planning to invest in real estate or other assets that create liability exposure, an IRA Trust may be the better choice.

What if I have questions about state franchise taxes?+

Consult with a competent tax or legal professional familiar with the laws of the LLC's state if you require assistance with understanding and complying with state franchise tax rules or the filing of franchise tax returns.

Why are some of the fees listed above different from the state published fees?+

The LLC formation fees listed above include all costs associated with LLC formation.  

Some states may require secondary filings, charge processing fees, or have different fees for online or mailed filings. 

We file online when available, as this is typically less expensive and faster.  In cases where the filing must be submitted by mail, we include the cost of delivery - and sometimes return - using USPS Priority Mail.  

Self-Directed Plans passes through the actual cost and does not add any fees for our services related to LLC filing.

Take the next step towards investment freedom

Set up your IRA LLC today and start investing in real estate on your terms.