1. Rhode Island LLC Overview
If you operate a business in Rhode Island, an LLC provides personal asset protection. However, Rhode Island is one of the more expensive states to maintain a business due to its $400 minimum annual tax.
- Moderate formation fee — $150 to file Articles of Organization
- Annual Report — $50 per year
- Minimum Corporate Tax — Flat $400 annual fee regardless of revenue
2. Rhode Island LLC Requirements
- Name must contain "Limited Liability Company," "L.L.C.," or "LLC"
- Appoint a registered agent with a Rhode Island physical address
- File Articles of Organization with the Secretary of State ($150)
- File an Annual Report by May 1 each year ($50)
- Pay the Minimum Corporate Tax annually ($400)
3. Rhode Island LLC Costs and Fees (2026)
| Cost Item | Amount | Notes |
|---|---|---|
| Articles of Organization | $150 | One-time state filing fee |
| Annual Report | $50/year | Due between Feb 1 and May 1 |
| Minimum Corporate Tax | $400/year | Due to the Division of Taxation |
| Registered Agent | $50–$150/year | Required RI physical address |
| Operating Agreement | $0–$1,000 | Recommended, not legally required |
4. How to Start a Rhode Island LLC (Step by Step)
- 1 Choose your LLC name (must include "Limited Liability Company" or "LLC")
- 2 Appoint a registered agent with a Rhode Island physical address
- 3 File Articles of Organization with the RI Secretary of State ($150)
- 4 Obtain an EIN from the IRS (free at IRS.gov)
- 5 Draft an Operating Agreement (not filed, but legally binding)
- 6 File an Annual Report by May 1 each year ($50)
- 7 Pay the Minimum Corporate Tax each year ($400)
- 8 Open a business bank account
Budget for the $400 Minimum Tax
Do not confuse the Annual Report with the Minimum Corporate Tax. They are paid to two different agencies. The $50 Annual Report goes to the Secretary of State. The $400 Minimum Corporate Tax goes to the Rhode Island Division of Taxation, and it is due even if your LLC has zero sales or operates at a loss.
5. Rhode Island Annual Report & Taxes
Rhode Island has a dual requirement to keep your business fully compliant.
- Annual Report: Due May 1. Filed with the Secretary of State ($50 fee).
- Minimum Corporate Tax: Due on the 15th day of the 3rd month following the close of your taxable year (typically March 15 for standard LLCs). Filed with the Division of Taxation ($400 fee).
6. Rhode Island LLC Taxes (2026)
- State income tax — 3.75% to 5.99% graduated rate on pass-through profits
- Federal income tax — Pass-through to personal return
- Self-employment tax — 15.3% on net earnings
- Sales tax — 7% state base rate (no local city/county sales taxes)
7. Best For / Not Best For
Best For
- Entrepreneurs living and operating in Rhode Island
Not Best For
- Out-of-state owners without Rhode Island nexus
- Cost-sensitive founders looking to avoid high yearly franchise/minimum taxes