Quick answer

Quick Answer

To start a Connecticut LLC, you must file a Certificate of Organization with the Connecticut Secretary of the State and pay a $120 fee. You are legally required to appoint a registered agent with a physical CT address. Once formed, your LLC must file an $80 Annual Report by March 31 every year. Connecticut recently repealed its Business Entity Tax, so there is no longer a franchise tax on standard LLCs.

Connecticut LLC filing fee

The state filing fee to form your LLC is $120. This fee is paid to the Secretary of the State when you submit your Certificate of Organization. Filing online through the state's CONCORD business portal is the most efficient method and usually processes within 2 to 3 days.

Step 1: Choose a name

Your LLC's name must be distinguishable from all other business entities registered in Connecticut. Additionally, state law requires the name to include "Limited Liability Company," "L.L.C.," or "LLC". You can check name availability using the business search tool on the Secretary of the State's website.

Step 2: Appoint a registered agent

Every LLC in Connecticut must appoint a registered agent. This person or business entity must maintain a physical street address in Connecticut (P.O. Boxes are not permitted) and must be available during regular business hours to accept legal documents and service of process. A member or manager of the LLC can serve as the registered agent if they live in the state.

Step 3: File formation documents

To officially create your LLC, you must file the Certificate of Organization with the Connecticut Secretary of the State. This document requires your LLC's name, its principal office address, the registered agent's information, and the names of the LLC's managers or members. The filing fee is $120.

Step 4: Create an operating agreement

Connecticut does not require you to file an operating agreement with the state. However, it is an essential internal document. Your operating agreement dictates how the LLC is managed, how profits are distributed, and the rights of the members. You will also need this document to open a business bank account.

Step 5: Get an EIN

An Employer Identification Number (EIN) is a 9-digit federal tax ID issued by the IRS. You need an EIN to hire employees, open a business bank account, and file federal taxes. You can obtain an EIN for free by applying online through the IRS website.

Step 6: Register for state taxes if needed

If your LLC sells physical products, you must register with the Connecticut Department of Revenue Services to collect the 6.35% state sales tax. If you have employees, you must register for employer withholding taxes. Connecticut LLC profits pass through to your personal tax return and are subject to the state's graduated income tax, which ranges from 3% to 6.99%.

Step 7: File annual reports and stay compliant

Connecticut LLCs must file an Annual Report every year to remain in good standing. The filing fee is $80. The report is due by March 31 of each calendar year following the year in which the LLC was formed. It must be filed online via the CONCORD portal.

Connecticut LLC Cost

Fee Type Amount
Formation fee $120
Registered agent estimate $39 - $150 / year
Annual report fee $80 / year
Franchise tax (BET) $0 (Repealed)
Publication fee if applicable $0 (None)
Other recurring fees Local business licenses (if applicable)
WHEN THIS MAY NOT APPLY

If you do not live in Connecticut, do not operate from Connecticut, and do not have a specific Connecticut-related reason for forming there, a Connecticut LLC may not be the best default choice. You may still need to register the LLC as a foreign LLC in the state where you actually operate, which can create duplicate filing fees, registered agent costs, and annual compliance requirements.

Connecticut currently charges $120 to form a domestic LLC. Annual reports are currently $80. For many purely online businesses, it is usually worth comparing your home state with commonly used business-friendly states such as Wyoming, which charges $100 to form an LLC and has a $60 minimum annual license tax, before choosing Connecticut.

Should you form your LLC in Connecticut?

A Connecticut LLC usually makes sense if you live in Connecticut, operate your business from Connecticut, or have a clear legal or tax reason to use Connecticut. If you live and operate somewhere else, forming in Connecticut may create extra registered agent costs, foreign qualification requirements, and duplicate compliance obligations. Connecticut may appeal to some owners, but compare it with Wyoming, Delaware, Nevada, and your home state in our guide to the best state for an online business LLC. For a comprehensive overview of starting a business, visit our LLC formation hub.

Situation Is a Connecticut LLC usually a good fit?
You live in Connecticut Usually yes
Your business operates in Connecticut Usually yes
You want privacy Depends on state rules
You live in another state Usually only if you have a specific reason
You are a non-US resident Depends on banking, taxes, and compliance needs

Connecticut LLC vs Wyoming LLC

Compared to a Connecticut LLC, a Wyoming LLC is slightly cheaper to maintain ($60 minimum/year vs $80/year) and offers the massive advantage of zero state income tax (CT charges up to 6.99%). Wyoming also provides excellent privacy, whereas Connecticut lists member information on the public record. For an out-of-state holding company, Wyoming is superior, but if you are actively doing business in Connecticut, you must form or register your LLC there.