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Ohio LLC Costs 2026: $99 to Form + $0/yr (No Annual Report)

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DR
CPA · Small Business Compliance Specialist

Quick Answer

Ohio is one of the most LLC-friendly states. The formation fee is $99, and Ohio requires no annual report for domestic LLCs, so your only ongoing state obligation is maintaining a statutory agent ($0 if you serve as your own). Ohio uses a Commercial Activity Tax (CAT) instead of a corporate income tax, and as of 2025 it exempts the first $6 million of taxable gross receipts and has no annual minimum tax. LLC profits pass through to members and face Ohio's individual income tax, which is a flat 2.75% for tax year 2026.

Key Takeaways

  • $99 to form (Articles of Organization, Form 610) - one-time, no ongoing state filing
  • No annual report requirement for domestic LLCs - $0/yr to the Secretary of State
  • No state franchise tax on LLCs
  • Commercial Activity Tax (CAT): first $6 million of gross receipts exempt (2025+), no annual minimum tax
  • Pass-through profits taxed at Ohio's flat 2.75% individual rate (tax year 2026)
  • Must maintain a statutory agent at all times
ItemCost/DetailsNotes
LLC Formation$99Articles of Organization (Form 610)
Annual Report$0Not required for domestic LLCs
Foreign LLC Registration$99Registration as a foreign LLC (Form 617)
Certificate of Good Standing$5Per certificate
Name Reservation$39Valid 180 days (Form 534B)
Statutory Agent Change$25Update statutory agent (Form 521)
CAT (gross receipts up to $6M)$0Exempt; no filing or minimum tax (2025+)

Ohio LLC Formation Cost

Forming an LLC in Ohio costs $99 to file the Articles of Organization (Form 610) with the Ohio Secretary of State. This is a one-time fee with no ongoing state filing requirements. For a full overview of Ohio compliance, see our Ohio LLC compliance hub.

What's Included

  • Processing of Articles of Organization
  • Official registration in Ohio business database
  • 3-5 business day processing (standard)

Optional Additional Costs

  • Statutory agent service: $50-$300/year (or $0 if you're your own agent)
  • Expedited processing: Additional fees available
  • Name reservation: $39 (optional, valid 180 days)

No Annual Report Required

This is Ohio's biggest advantage: domestic LLCs have NO annual report requirement. Once you pay the $99 formation fee, you're done with state filings (as long as you maintain a statutory agent).

What This Means

  • No yearly filing deadlines to remember
  • No annual fees to the Secretary of State
  • No risk of dissolution for missing report deadlines
  • Minimal ongoing compliance burden

Real Savings: While North Carolina charges $200/year and California charges an $800/year franchise tax to keep an LLC in good standing, Ohio charges $0. Over 10 years that is $2,000 in North Carolina or $8,000 in California versus nothing in Ohio.

States Without Annual Reports

Ohio is one of only a few states with no annual report for LLCs:

  • Ohio - No annual report
  • Arizona - No annual report (but has publication requirement)
  • Most other states require annual or biennial reports

Commercial Activity Tax (CAT)

Ohio uses the Commercial Activity Tax (CAT) instead of a traditional corporate income tax. The CAT is based on gross receipts, not net income.

Small Business Exemption (Greatly Expanded)

Ohio overhauled the CAT for 2024 and 2025. The old $150,000 threshold and the $150 annual minimum tax are gone. Today the exemption works like this:

  • Up to $6,000,000 gross receipts (2025 and later): No CAT due, no CAT return required
  • Over $6,000,000: 0.26% on taxable gross receipts above the $6 million exclusion
  • No annual minimum tax for any taxpayer, effective tax periods beginning January 1, 2024

CAT Exemption by Year

Tax YearExempt Gross ReceiptsRate Above Exclusion
2023 and earlierFirst $1,000,0000.26% (plus minimum tax)
2024First $3,000,0000.26%, no minimum tax
2025 and laterFirst $6,000,0000.26%, no minimum tax

Key Point: The CAT is based on gross receipts (total revenue), not profit. But with the exclusion now at $6 million, the overwhelming majority of small LLCs owe $0 in CAT and file no CAT return at all.

Ohio Income Tax on LLC Profits

A standard Ohio LLC is a pass-through entity, so its profits are reported on the members' personal Ohio returns rather than taxed at the entity level. For tax year 2026, Ohio applies a flat 2.75% individual income tax on nonbusiness income above $26,050 (income at or below that threshold is not taxed), down from the prior two-bracket system under House Bill 96.

Ohio also offers a Business Income Deduction: owners can deduct 75% of the first $250,000 of qualifying business income before the flat rate is applied, which sharply reduces the effective state tax on LLC profits for most small businesses. Ohio has no separate corporate income tax on LLCs.

Statutory Agent Requirement

Ohio uses the term "statutory agent" instead of "registered agent." The requirements are the same:

  • Must be an Ohio resident or authorized business entity
  • Must have a physical Ohio street address
  • Must be available during business hours
  • Accepts legal documents on behalf of the LLC

Maintaining Your Statutory Agent

Even without annual reports, you must maintain a statutory agent at all times. If your agent resigns or becomes unavailable, update your information with the Secretary of State on Form 521 (filing fee: $25). For the full rules on eligibility and acting as your own agent, see our Ohio statutory agent requirements guide.

Consequences of No Statutory Agent

  • Your LLC can be dissolved for failing to maintain an agent
  • You may miss important legal documents
  • Contracts could become unenforceable

Cost Comparison: Ohio vs. Other States

StateFormationAnnual Fees5-Year Total
Ohio$99$0$99
Indiana$95$16/year*$175
North Carolina$125$200/year$1,125
California$70$800/year$4,070

*Indiana files a biennial report ($32 online, every 2 years), shown as a per-year average. California's $800 figure is its annual LLC franchise tax. Formation and report fees are from each state's Secretary of State.

Who Ohio Is Best For

Ohio is an excellent choice for:

  • Small and mid-sized businesses with up to $6 million in gross receipts (CAT exempt)
  • Solopreneurs who want minimal compliance overhead
  • Ohio-based businesses (local presence = credibility)
  • Budget-conscious entrepreneurs seeking lowest ongoing costs
  • Businesses wanting simplicity over complex tax structures

Consider Other States If: Your gross receipts exceed $6 million (the CAT then applies at 0.26% on the excess), or you want a "prestige" formation state like Delaware. For most small businesses, Ohio offers excellent value.

Frequently Asked Questions

Does Ohio require an annual report for LLCs?

No! Ohio is one of the few states that does not require an annual report for domestic LLCs. Once you form your LLC and pay the $99 filing fee, you have no ongoing state filing requirements as long as you maintain a statutory agent.

What is Ohio Commercial Activity Tax (CAT)?

The CAT is Ohio's gross receipts tax that replaced the corporate franchise and income taxes. It's based on gross receipts (revenue), not net income. As of 2025, the first $6 million of taxable gross receipts is exempt and there is no annual minimum tax, so businesses at or below $6 million owe $0 and do not file a CAT return. The 2024 exemption was $3 million.

What's the difference between a registered agent and statutory agent in Ohio?

Nothing - they're the same thing. Ohio uses the term 'statutory agent' instead of 'registered agent.' The requirements and responsibilities are identical to what other states call a registered agent.

Do I still need to file taxes as an Ohio LLC?

Yes. You still have federal tax obligations, and you owe the Ohio CAT only if your taxable gross receipts exceed $6 million (2025+). Pass-through LLC income is also subject to Ohio's individual income tax, which is a flat 2.75% on nonbusiness income above $26,050 for tax year 2026. Ohio's Business Income Deduction lets owners deduct 75% of the first $250,000 of business income before that rate applies.

Is Ohio a good state to form an LLC?

Yes. Ohio combines a low $99 formation fee, no annual report, no franchise tax, and simple ongoing compliance. With the CAT now exempting the first $6 million of gross receipts and no annual minimum tax, the vast majority of small businesses owe the state nothing beyond their pass-through income tax.

Official Source

For the most up-to-date information, always verify requirements with the official Ohio Secretary of State website:

https://www.ohiosos.gov/businesses

Important Disclaimer

This article is for informational purposes only and does not constitute legal advice. LLC requirements, fees, and deadlines change frequently. Always verify current requirements with your state's Secretary of State office before making business decisions.

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