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


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Perhaps you are hoping to form an Idaho LLC. 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 Idaho.

Idaho LLC Cost of Filing

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

Cost of Filing Formation Certificates

The Idaho 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 Idaho Secretary of State

Idaho Domestic LLC

  • Online Filing costs $100
  • Annual Report filing costs $0 (online filing)
  • Name Reservation Fee costs $20
  • By mail: Fill out the Application Form PDF, and submit it to the following address: Office of the Secretary of State, 450 N 4th Street, P.O. Box 83720, Boise, ID 83720-0080, costs $120

Idaho Foreign LLC

  • Online Filing costs $100
  • Annual Report Filing costs $0 (online filing)
  • Name Reservation Fee costs $60
  • By mail: Fill out the Application Form PDF, and submit it to the following address: Office of the Secretary of State, 450 N 4th Street, P.O. Box 83720, Boise, ID 83720-0080, costs $120

Visit the Official Idaho Secretary of State website to learn more about the Business Entity Filings. You can also access the File Paper Forms section on the Secretary of State website to access the forms you wish to submit via mail.

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

Idaho LLC Formation Service or Registered Agent Fee

You need a registered agent to form an LLC in Idaho, 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.

LLC Service

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$99 per year

  • Standalone registered agent service

  • Take you through all steps

  • LLC formation package available

$125 per year

  • 1 year free service along with LLC formation package

  • Fast service

  • Flat rate, no hidden cost

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 Idaho Department of Revenue for regulatory boards or agencies requiring licensing. 

Idaho LLC Taxes to be Paid

Though the annual report filing in the State of Idaho is free of cost, the LLCs in the State are subject to different State Tax filing obligations. Though the taxes vary from county to county.

Idaho Sales Tax Rate

The standard rate of sales tax applicable is at the rate of 6.00% and the maximum local or county rate that applies additionally is 3.00%.

Idaho State Income Tax

This is the State Tax levied on any income you pay to yourself. The tax rate varies between 1.125% to 6.925%, depending on the total amount of taxable income.

Federal Self Employment Tax

Any profit that an Idaho LLC Business members draw out from the business is liable to pay self-employment tax. The standard tax rate is 15.3%.

Employer Payroll Tax Withholding

If you hire employees in Idaho, you must withhold payroll tax from their salaries. The standard rate of withholding is 7.65% of the taxable salary of the employees.

Cost Comparison Among States

Every state has different costs of filing for an LLC to their respective State Authorities. If you want to get a better understanding of the costs of opening an LLC in a different state in comparison to Idaho, read the table below:

StateFiling FeeAnnual Fee/Biennial FeeSales Tax
Idaho LLC$100 (online)$120 (mail)$06% + local county rates
Washington LLC$200$60 (annual)6.5% + local county rates
Oregon LLC$100$100 (annual)0%
Nevada LLC$425$350 (annual)4.6% + local county rates
Montana LLC$70$20 (annual)0%

The State of Idaho has seen significant economic growth in recent years. The major contributing sectors are science and technology such as computers, recreational, and innovation. Other sectors include manufacturing, energy, and food production.

Other Costs

How Much Does It Cost to Maintain an LLC in Idaho

To maintain an LLC in Idaho you do not need to pay an annual fee. However, state income tax at 1.125% to 6.925%, sales tax and federal taxes are levied.

When forming an LLC in Idaho, you’ll first need to choose a registered agent. This person is the middleman between your business and the state, accepting official communications and serving process on your behalf. In Idaho, you can choose to self-serve as the registered agent, but it’s recommended that you hire someone to help you. You’ll save money and have peace of mind by choosing a professional to handle this job for you.

There are several costs associated with Idaho LLC formation, and you can hire an affordable service to help you manage the paperwork. Some services charge a one-time fee, while others tack on “free” services that will end up costing you money the next year. Make sure to read the fine print of any service before hiring it. A service that offers both services is likely to be more expensive than you expected.

Business liability insurance is another necessary expense for Idaho businesses. Regardless of size, this type of insurance protects your business from common risks such as property damage or lawsuits. In addition to business liability insurance, your business might require a professional license or industry-specific permit. Some of these permits may cost money to apply for and renew. Once you’ve established your business, you’ll be glad you did.

In addition to the annual fees, you may also need to pay ongoing business taxes. If you sell products, you’ll need to register for sales taxes, while businesses with employees will need to pay unemployment insurance tax and other taxes. This is not an exhaustive list, but it’s worth knowing what to expect. You should also be aware that there are various fees and requirements for running an LLC in Idaho. These fees can add up quickly, so keep an eye out for these costs.

While you might think that operating agreements are unnecessary for LLCs in Idaho, they can be extremely beneficial. They’re important in preventing disagreements between the owners and partners. An LLC’s operating agreement will also provide an overview of all of the company’s financial and operational rules. As long as the agreement specifies how ownership stakes will be shared, it’ll be easier for everyone to manage the business.

The first step to starting an LLC in Idaho is to register with the Idaho State Tax Commission. You’ll also need to obtain an Employer Identification Number (EIN) from the IRS. The state fee for forming an LLC in Idaho is $100 for the Certificate of Organization. There are additional fees for occupational licenses and operational permits. You’ll also have to pay applicable state taxes on top of that. And if you’re a business owner, you might also need to hire add-on services like an accounting firm or a legal professional.

In addition to your business licenses, you must also obtain a federal tax ID number (also known as an EIN) for your business. This EIN is needed to file taxes, hire employees, open business banking accounts, and more. In addition, if your business is expanding to other states, you’ll need to apply for a Foreign Registration Statement, and pay a $100 fee for that.

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 Idaho 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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