Which states have no annual report for LLCs?

A small number, and the absence is worth verifying at the source rather than taking from a summary — it is exactly the kind of fact that gets repeated after it stops being true. Every state page here links the agency page the figures came from, with the date they were read.

What happens if I miss my LLC annual report?

You are typically charged a late fee, and after a period the state administratively dissolves the entity. A dissolved LLC no longer provides the separation you formed it for, and reinstatement costs more than the original filing.

Is a franchise tax the same as income tax?

No. A franchise tax is charged for the privilege of existing as an entity in the state, and is often owed whether or not the business made money. That is what makes it the line most likely to surprise an owner in a slow year.

LLC Annual Fees by State: What You Pay Every Year

The filing fee is paid once; annual reports and franchise taxes are paid forever. Some states charge nothing yearly, others charge several times what they charged to form. Here is how the recurring side works, and why it decides which state is actually cheapest.

Three kinds of recurring charge

The annual report is the commonest: a short filing confirming the entity's details, with a fee attached. Some states charge it every two years rather than every year, which halves the annual cost and is worth normalising before comparing.

A franchise or privilege tax is a separate charge for the right to operate as an entity in the state. It may be a flat amount or a formula based on revenue, capital, or margin.

A registered agent fee is not a state charge at all, but it recurs, so it belongs in any honest yearly total — clearly labelled as the optional item it usually is.

Flat fees and formulas are different animals

A flat annual tax is predictable and easy to compare. A formula-based charge is neither: it can be nothing at all below a revenue threshold and substantial above it, and the amount depends on figures no calculator knows.

Any source that presents a formula-based obligation as a single number has invented that number. The honest presentation is the floor, plus the formula, plus a note about what drives it.

Missing the deadline is the expensive part

Late fees for a missed annual report are often larger than the report fee itself, and prolonged failure leads to administrative dissolution — after which the entity stops shielding anything, and restoring it costs more than filing on time ever would.

The due rule varies: some states use a fixed calendar date, others the anniversary of formation. Each state page here records which, because that is the detail a calendar reminder depends on.

Common questions

Which states have no annual report for LLCs?: A small number, and the absence is worth verifying at the source rather than taking from a summary — it is exactly the kind of fact that gets repeated after it stops being true. Every state page here links the agency page the figures came from, with the date they were read.
What happens if I miss my LLC annual report?: You are typically charged a late fee, and after a period the state administratively dissolves the entity. A dissolved LLC no longer provides the separation you formed it for, and reinstatement costs more than the original filing.
Is a franchise tax the same as income tax?: No. A franchise tax is charged for the privilege of existing as an entity in the state, and is often owed whether or not the business made money. That is what makes it the line most likely to surprise an owner in a slow year.

Run it for your numbers:

Compare annual fees by state