LLC Cost In Connecticut - How Much To Pay In Fees & Taxes in CT

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Last updated November 18, 2022
Written by Dmytro Kondratiev
Editor, lawyer
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Do you already know the formalities of how to start an LLC in Connecticut and are ready to make your way on a new business journey? We bet you want to find out the cost of forming an LLC in Connecticut before launching.

In the article below, we’ve done our best to disclose all ins and outs of Connecticut LLC costs and filing fees. By reading this guide, you’ll be able to accurately estimate your upcoming expenses and plan your formation budget. 

How Much Is an LLC in Connecticut?

What costs are waiting ahead? This is a question first-time entrepreneurs ask themselves when thinking about their new venture. LLC registration is not free of charge. So, starting a venture in Connecticut, you should be ready for formation-related expenditures.

On top of that, there might be other costs brought by any additional needs and circumstances or business situations. All in all, limited liability company costs could be split into two major categories:

  • Must-have payments that embrace fees and charges most companies will have to cover depending on their business scenario;
  • Extras or additional charges that occur in specific cases and are most often one-time fees. 

General Connecticut LLC Costs

Limited liability company laws and regulations are state-specific, and company costs vary by state too. Statutory requirements might differ in a way as well as state rates and fees. Nevertheless, there is a number of standard costs that occur for LLCs across the states.

Let’s consider basic charges and corresponding rates to be paid by most companies in Connecticut. This is what you should take into account when planning your formation and post-formation expenses.

Connecticut Filing Fee: $120

A limited liability company is a registered entity which means you need to file it with the state to make it legally existent. The good news is that registration is as simple as getting the Connecticut Articles of Organization or LLC statute approved by the state.

Your company formation document should be reviewed and registered by the Connecticut Secretary of State:

  • You can file it online;
  • You can fill in an application form and send it to the Business Services Division by mail;
  • You can bring it to the Secretary office in person. 

Whatever the filing method you choose, a Connecticut LLC filing fee will be $120. Mind, though, that online filings are the fastest since they are approved within 4 business days. Paper filings will take 3 to 4 weeks to get approved.

If you seek to complete your Connecticut LLC formation asap, you can go for an expedited filing option by paying a $50 fast processing fee and have your LLC registered within 24 hours.

Connecticut Registered Agent: $0 - $150

To form and run a limited liability company in Connecticut, you’ll need a registered agent. It’s a law requirement and you can’t skip it. This role is much more than just a formality, it functions to:

  • Receive legal mail on behalf of your company and stay in touch with statutory authorities;
  • Keep an eye on crucial notifications and essential letters;
  • Keep you informed about any important deadlines and regular reporting dates.

As such, a registered agent will monitor your compliance status and help your Connecticut LLC stay in good standing with the state.

Your Connecticut agent’s cost will depend on your agent’s choice falling between:

  • Handling this function on your own or appointing someone who will agree to serve for free;
  • Delegate this job to your attorney or accountant or hire a dedicated agent service for that purpose. Both options will bring some costs.

If you want to see a professional doing the agent’s job for you at a reasonable cost, we suggest that you hire one of the best registered agent services in Connecticut. At an average cost of $100-150 per year, many of them offer welcoming volume discounts.  

Annual Report Fee in Connecticut: $80

State reports are required by LLC laws in most US states. Connecticut has statutory reporting rules in place too. You will have to file annual statements with the Secretary of State. The Connecticut annual filing fee is $80.

The reporting dates in the state are within a period from January 1 and April 1 in the year following your company registration. Failing to submit the state report in time, you might incur penalties or even expose your entity to the risk of administrative dissolution. 

Foreign LLC Cost in Connecticut: $120

Already have an LLC and want to make it operable in Connecticut? If so, you should get a foreign qualification in this state to make your entity registered in another jurisdiction legitimate here. 

Similar to domestic LLCs, foreign companies require state registration and are to be approved by the Secretary of State. You should file a Foreign Registration Statement and pay a $120 foreign registration fee.

Licensing Costs in Connecticut: Rates Vary

To legally run your newly formed business in Connecticut, entity registration is not enough. You will also have to get special business licenses and permits. Each state has its own requirements in this sphere too. 

In contrast to other jurisdictions, Connecticut doesn’t call for a general business license at a state level. Yet, you’ll have to consider registering for local and federal licenses anyway.

The authorities to contact to find out which permissive documents are a must for your business in the state are the Connecticut Department of Consumer Protection and the Connecticut local clerk’s office. The license fees to pay vary by locality and license type.

Industries requiring federal licenses include:

  • Agriculture;
  • Aviation and maritime transportation;
  • Alcoholic drinks;
  • Weapons and explosive products;
  • Wildlife products and activities;
  • Mining and nuclear energy;
  • Radio and TV;
  • Logistics.

The most common licenses you might need at a municipal or county level are:

  • A zoning license;
  • Environmental permit;
  • Building permit;
  • Health permit;
  • Sales and use tax permit.

Connecticut LLC Taxes

Business taxes are yet another essential aspect to consider along with licenses to keep your registered entity afloat. And yet another aspect that will add to your regular expenses. The tax payments LLCs have to take into account are as follows:

  • The brackets for personal tax rates under which LLC members pay income taxes after profit distribution are set at 3% to 6.5%;
  • A corporate income tax payable by LLCs taxes as C-Corps is 7.5%;
  • A sales tax imposed on commercial and sales companies is 6.35%;
  • LLCs hiring employees will have to pay a withholding tax at a rate varying from 3% to 7% depending on the level of wages;
  • Members of LLCs taxed as disregarded entities are considered self-employed and are to pay a 15.3% self-employment tax.

Other Connecticut LLC Costs

Above, we’ve reviewed compulsory payments and charges levied over LLCs depending on the type of activity they run and the type of company structure they choose. Many of them are regular or periodic payments as you can see.

Besides, there is a range of optional costs that might occur in certain business situations or under certain scenarios. Those payments are most often one-time charges of fees. Let’s take a look at them as well. 

Connecticut Business Name Reservation Fee: $60

Choosing a name for your future LLC is an important part of the formation process. Once you spot a distinguishable name available in the state, you can put it on hold until you are ready to file.

The name reservation period in Connecticut is 120 days. To reserve a desired moniker, submit a Reservation Application with the Secretary of State and pay a $60 fee.

DBA Name Registration: Local Fees

A DBA (doing business as) name is a fictitious or assumed name different from a registered or legal company moniker.

DBAs are widely used to:

  • Get a stronger position in the market;
  • Expand activity to other states;
  • Launch multiple product lines or series;
  • Use a more marketable name for business;

while maintaining a single LLC and without the need to officially form multiple companies.

A venture can have a number of DBAs. Yet, each of them should be registered with the state. Instead of a fixed filing fee normally applicable in other states, Connecticut has county-specific fees. So contact your clerk’s office to check.

Connecticut Certificate of Legal Existence: $50

As the name suggests, the document is meant to verify your Connecticut LLC’s legitimacy and good standing status. Most likely than not, you’ll need it when applying for a business loan from the bank. 

You can order the Certificate of Legal Existence from the Secretary of State. The issue fee is $50.

Connecticut Document Copies: $40 - $50

When you need copies of your Connecticut LLC documents (to sign a contract, open a bank account, register for a license, etc. ), you can order those from the Secretary of State’s Office:

Connecticut Certificate of Amendment: $120

Any changes you need to make in your LLC formation documents already registered with the state are to be introduced via a Certificate of Amendment.

This document is to be filed with the Secretary of State and entails a $120 filing fee. It’s required in case you need to change

  • Company name;
  • LLC members;
  • Registered address;
  • Contact info.

Connecticut Certificate of Reinstatement: $120

A dissolved LLC (due to voluntary or administrative dissolution procedure) could be reinstated in Connecticut. A reinstatement fee is $120.

Yet, before filing for the entity revival, you should make sure all issues that caused dissolution (if any) are duly settled. It implies providing delayed reports, paying penalties, etc.

Connecticut Certificate of Dissolution: $50

To legally close an LLC in Connecticut, you need to file a Certificate of Dissolution and pay a $50 fee to the state.

The standard processing time for dissolution applications is 3 to 5 business days. Should need to complete it faster, you can order expedited processing and get your LLC terminated within a day by paying an additional $50 fee.

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