Kentucky LLC Cost Calculator & 5-Year Taxes
Initial state filing fee: $40. Ongoing annual report fee: $15 (annual). Franchise tax: $175/yr minimum.
Check if your LLC name is taken on official Kentucky database
Every LLC name must be legally distinguishable on state records. Perform a free corporate name lookup on the official Kentucky Secretary of State registry before submitting your $40 Articles of Organization.
How Much Does an LLC Cost in Kentucky?
An LLC in Kentucky costs $40 to form (one-time state filing fee) and $15 per year in annual report fees. Kentucky also charges a $175/yr minimum franchise tax. The estimated total 5-year cost is $1,170, including state fees, annual reports, and registered agent service.
| Fee Component | Statutory Cost | Frequency | Due Date / Requirement | Recipient Entity |
|---|---|---|---|---|
| Articles of Organization (Filing Fee) | $40 | One-time | Upon LLC formation | Kentucky Secretary of State |
| Periodic Annual / Biennial Report | $15 | annual | Due June 30 annually | Kentucky Secretary of State |
| State Franchise Tax / Entity Fee | $175/yr | Annual | Annual tax schedule | State Tax Department |
| Registered Agent Service | $0 (Self) or $39–$125 | Annual | Continuous requirement | Appointed agent / Commercial service |
| Operating Agreement & Federal EIN | $0 (Free) | One-time | Internal record / IRS issuance | Internal Company Record / IRS |
| Total Minimum Initial Formation | $40 (State statutory fees to open LLC) | |||
Kentucky LLC 5-Year Cost Model
KYChoose a state and assumptions. Your five-year estimate updates instantly.
Future years assume today's reviewed rates remain unchanged. Historical estimates are not enabled because older rules have not been fully verified.
This estimate covers liabilities incurred in five taxable years (2026–2030), even when payment is due later.
Future years use an unchanged-current-law assumption. Income tax, legal advice, penalties, and unselected optional services are excluded.
Initial formation fee ($40) + registered agent
Annual report ($15/yr) + franchise tax
Estimated liability for the selected inputs and disclosed scope in Kentucky.
Five taxable years by cost category(Click any year to inspect)
Select a year to inspect its included liabilities and applicable tax due date.
Tax year 2026 included items
Total: $2545-Year Budget Allocation by Cost Category
Save on your Kentucky filing fees & protect your personal privacy
Pro Tip: Filing directly through the state exposes your personal home address on public government records forever. You can keep your private details off the public registry and save time by using a top-rated Registered Agent service starting at $39 + state fees.
Open a zero-fee business checking account for your Kentucky LLC
Separate your business finances immediately to preserve limited liability corporate veil protection.
Kentucky LLC Statutory Framework & Compliance Guide (2026)
Statutory requirements and fee schedules under the Kentucky Secretary of State.
Kentucky Franchise Tax & Business Privilege Tax Rules
Limited Liability Entity Tax (LLET) minimum $175 applies unless gross receipts/profits qualify for small business reduction.
Advantages of a Kentucky LLC
- Very low initial state filing fee ($40)
- Low $15 annual report fee
Drawbacks & Hidden Costs
- $175 LLET minimum entity tax for many operating businesses
Founder Pro-Tip for Kentucky
Businesses with gross receipts under $3M receive a tax credit against the LLET.
Step-by-Step Kentucky LLC Formation Checklist (2026)
Choose an Available Entity Name
Must include "LLC", "L.L.C.", or "Limited Liability Company" and be distinguishable on the Kentucky Secretary of State registry.
Appoint a Kentucky Registered Agent
Must have a physical street address in Kentucky (no P.O. boxes) to receive official service of process during regular business hours.
File Articles of Organization ($40 State Fee)
Submit electronically to the Kentucky Secretary of State. Approval is typically granted within 1-3 business days.
Execute an Operating Agreement & Obtain Federal EIN
Establish member capital contributions, voting rights, and obtain a free 9-digit EIN from IRS.gov for business checking accounts.
Maintain Ongoing Legal Good Standing (June 30 annually)
Submit the annual report with the $15 fee to prevent automatic forfeiture or late fee assessments.
Kentucky LLC Cost FAQ
Common questions about forming and maintaining an LLC in Kentucky.
How much does it cost to start an LLC in Kentucky?
The state filing fee to form an LLC in Kentucky is $40, paid to the Kentucky Secretary of State when you file your Articles of Organization. With a registered agent service ($39–$125/yr), expect to pay approximately $79 in your first year.
What is the Kentucky LLC filing fee for 2026?
The Kentucky LLC filing fee is $40. This is a one-time fee paid to the Kentucky Secretary of State to register your Articles of Organization. Normal processing time is 1-3 business days.
What are the annual fees for an LLC in Kentucky?
Kentucky charges a annual report fee of $15, due June 30 annually. Additionally, Kentucky imposes a franchise tax of $175/year minimum. Limited Liability Entity Tax (LLET) minimum $175 applies unless gross receipts/profits qualify for small business reduction.
How much does it cost to maintain a Kentucky LLC per year?
The annual cost to maintain a Kentucky LLC includes the annual report fee ($15), the state franchise/entity tax ($175/yr minimum), and a registered agent ($39–$125/yr). Over 5 years, the estimated total cost is $1,170.
Does Kentucky have a franchise tax for LLCs?
Yes. Kentucky imposes a franchise tax on LLCs: Limited Liability Entity Tax (LLET) minimum $175 applies unless gross receipts/profits qualify for small business reduction. The minimum annual franchise tax is $175.
Can I form an LLC in Kentucky if I live in another state?
Yes, you can form a domestic LLC in Kentucky regardless of where you live. However, if your principal business operations are in a different state, you will also need to register as a Foreign LLC in that state. In Kentucky, foreign LLC registration costs $90 plus $15/year in ongoing fees — often resulting in paying double.
Compare Kentucky with Rival & Neighboring States
Evaluating formation options? Review fee structures in competing jurisdictions: