LLC Cost in Georgia – How Much to Pay for an LLC


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Perhaps you are hoping to form an LLC in Georgia. People assume how to start an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Georgia.

Georgia LLC Cost of Filing

Here are the costs involved in forming an LLC in Georgia.

Cost of Filing Formation Certificates

The Georgia Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Georgia Secretary of State

Georgia Domestic LLC

  • Online Filing costs $100.
  • Annual Report Fee $50
  • Late Annual Report Submission Fee $25
  • By Mail: Fill out the application form, and mail it to the Corporations Division, 2 Martin Luther King Jr. Dr. SE, Suite 313 West Tower, Atlanta, Georgia 30334. Costs $110. 

Georgia Foreign LLC

  • Online Filing costs $225
  • By Mail: Fill out the application form, and send it to the Corporations Division, 2 Martin Luther King Jr. Dr. SE, Suite 313 West Tower, Atlanta, Georgia 30334, costs $225
  • In-Person: Drop the filled-up form at the Corporations Division, 2 Martin Luther King Jr. Dr. SE, Suite 313 West Tower, Atlanta, Georgia 30334. Costs $225

Note that filing online is ideal, not only because you need to go to the Secretary of State’s office, but also because it would be faster. You won’t have to wait in a queue in doing so.

Georgia LLC Formation Service or Registered Agent Fee

You need a registered agent to form an LLC in Georgia, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.

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Business Permits and Licenses 

The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Georgia Department of Revenue for regulatory boards or agencies requiring licensing. 

Georgia Business Taxes To Be Paid By LLCs

LLCs have the privilege to pass through the income tax. However, like any other state in the United States, Georgia State also has a set of taxes levied on the LLCs. The members of the LLCs have to pay the income tax separately but not as LLC. 

Business Tax Payment

To pay the business taxes in Georgia, all the businesses, including LLCs have to obtain STIN aka State Tax Identification Number from the Georgia Tax Department. This number identifies the business liabilities, tax payments, and credits of the existing business. STIN can be obtained online via the Georgia Department of Revenue or by applying in-person to the office of the Georgia Tax Department.

Sales Tax and Use Tax

In Georgia, the state charges 4% Sales Tax and 9% Use Tax for the LLCs. There is no personal income tax to be paid by the LLCs. 

Corporate Income Tax

The members of the LLCs will have to pay federal and state income taxes based on their income from the LLCs. If there are 3 members and the net annual income is $1.5 Million, then each member will earn $500,000 annually. Each of them has to pay federal income tax on the basis of $500,000. 

LLCs, Sole Proprietorship, and Partnership companies have the same structure of taxation. On the other hand, Corporations have to pay 6% tax based on their annual income. 

Georgia LLC Tax Benefits

Along with the pass-through taxation privilege, LLCs in Georgia can waive off their business expenses. Any expenditure related to business can be waived off if you own an LLC in Georgia. 

Cost Comparison Between The States

Georgia State is surrounded by Tennessee, North Carolina, and Florida. Along with the neighboring states, Georgia has incredible benefits of having an LLC. Here’s a cost comparison study among the states around Georgia.

StatesFiling FeeAnnual/Biennial FeeSales Tax
Georgia$100$50 (Annual)4%
Tennessee$300$300 (Annual)7%
North Carolina$125$200 (Annual)4.75%
Florida$125$138.75 (Annual)6%
Alabama$200$100 (Annual)4%

Georgia, among all, has the cheapest cost to start an LLC. The Sales Tax and other tax burdens are also low in this state.

Other Costs

How Much Does It Cost To Maintain An Llc In Georgia

To maintain an LLC in Georgia you will need to pay an annual fee of $50 along with sales tax at 4%, use tax at 9%, corporate income tax and federal taxes.

Whether you’re looking to form a new LLC in Georgia, or you’re looking to get your current one updated, you’ll want to know about the costs involved. Depending on the county in which you’re forming the LLC, you may be required to pay specific taxes. It is also important to note that there are certain costs that are owed to the federal government, so you’ll want to check with them before you begin.

To create a Georgia LLC, you’ll need to register with the Georgia Secretary of State. You can do this online, by mail, or by visiting a local office. The cost of filing articles of organization will vary depending on your county, but generally, you’ll pay a fee of $10 if you file in person and a fee of $100 online. The same applies to filing annual reports. If you file late, you will be charged a $25 late fee.

During the formation process, you’ll want to choose a name for your LLC. This name needs to be different from other business names that you may already have. You can choose to use a legal name or a fictitious name. Your LLC’s name should be less than 80 characters long. If you choose a fictitious name, you’ll need to register it with your local county clerk of superior court.

You’ll also want to register for an EIN (Employer Identification Number). This number is used for tax filings, hiring employees, and other financial transactions. You can obtain your EIN online, in the mail, or by visiting a local office. You can also get a certified copy of your Georgia business documents for $10.

Georgia LLCs are required to file an annual report. You’ll need to file this report between January and April every year. If you don’t file, you’ll lose your right to do business in the state. If your LLC is a nonprofit, you’ll also need to file an annual report. There is a $50 filing fee for nonprofits.

Your LLC will also have to pay the state tax of 4% on sales and 9% on use. Your LLC’s registered agent must keep a physical business address in Georgia. A registered agent can be an individual within the LLC, or another business entity that is authorized to do business in Georgia. The registered agent should maintain regular business hours. Having a registered agent can help you avoid late fees.

If you’re unsure about what fees you’ll need to pay, you can ask the Georgia Department of Revenue. They can give you information on taxes and costs, as well as help you set up your LLC. They also have an eCorp page on their website where you can get your LLC’s documents electronically.

You’ll also need to register your LLC with a registered agent. This person will act as your primary contact with the state. The registered agent will accept service of process in the event of a lawsuit. You will also need to maintain a physical business address in Georgia. Having a registered agent will help you avoid late fees and keep you in compliance. If you choose to hire a professional registered agent service, you can expect to pay several hundred dollars a year.

F.A.Qs

Can I start an LLC for free?

It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.

Is an LLC expensive?

It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.

Does an LLC need a bank account?

The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.

In Conclusion

The cost of Georgia is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.

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