What a US LLC Costs Each Year for a Non-Resident Owner

Forming a US LLC is a one-time cost. Keeping it in good standing costs something every year, and a non-resident owner has a few items that a US resident does not. This guide lists the yearly costs by type, so you can plan before you form. It gives no single figure, because the fees depend on the state and change over time.

1. The state's yearly fee or report

Most states charge an annual report fee, a franchise tax or both. The amount and the due date depend on the state. Compare them on our LLC filing fees by state page, and check the state's own site for the current number before you choose. A low formation fee does not mean a low yearly cost.

2. A registered agent

You need one every year, not only in the first year. Many providers charge a low first year and more at renewal, so compare the renewal price. Our formation packages include the first year, then the service renews at its normal price. Read registered agent for a US LLC.

3. The IRS filing for a foreign-owned LLC

A single-member LLC owned from outside the US generally files Form 5472 with a pro forma Form 1120 every year, even when it earned nothing. It is a filing, not a tax, but it needs to be prepared, and missing it carries a heavy penalty. See Form 5472 for a foreign-owned LLC and what happens if you miss it. Our US LLC tax filing service prepares it.

4. Any US tax the LLC owes

A foreign-owned LLC with no US-source business income generally owes no US income tax, but your own country may tax the profits. Read US taxes for a foreign-owned LLC, and speak to a tax adviser who knows both countries.

5. Bank, payment and platform fees

Bank accounts, payment processors and online business accounts may charge monthly or per-transaction fees. These are not an LLC cost, but they belong in your yearly budget.

6. Optional costs

• A business address, if you want one beyond the registered agent's.
• Bookkeeping or accounting.
• Licences or permits for your industry. See business licences.

A simple way to plan

1. Pick the state and read its yearly fee.
2. Add the registered agent's renewal price.
3. Add the cost of the yearly IRS filing.
4. Add your own tax and bank costs.

Then compare states before you form. See how to start an LLC or go to LLC formation for non-residents. This is general information, not tax or legal advice.