LLC Cost in Alaska – How Much to Pay for an LLC


Steve Goldstein
Steve Goldstein
Business Formation Expert
Steve Goldstein runs LLCBuddy, helping entrepreneurs set up their LLCs easily. He offers clear guides, articles, and FAQs to simplify the process. His team keeps everything accurate and current, focusing on state rules, registered agents, and compliance. Steve’s passion for helping businesses grow makes LLCBuddy a go-to resource for starting and managing an LLC.

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Perhaps you are hoping to form an Alaska LLC. People assume that starting an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Alaska.

Alaska LLC Cost of Filing

Here are the costs involved in forming an LLC in Alaska.

Cost of Filing Formation Certificates

The Alaska Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Alaska Secretary of State.

Alaska Domestic LLC

  • Online Filing costs $250.
  • Business License Renewal Fee $50
  • Biennial Report Fee $100
  • By Mail: Fill out the application form, and send it to the State of Alaska Corporations Section, P.O. Box 110806, Juneau, AK 99811. Costs $250

Alaska Foreign LLC

  • Online Filing costs $350
  • By Mail: Fill out the application form, and send it to State of Alaska Corporations Section, P.O. Box 110806, Juneau, AK 99811 Costs $350

Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so.

Alaska LLC Formation Service or Registered Agent Fee

You need a registered agent to form an LLC in Alaska, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.

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Business Permits and Licenses

The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Alaska Department of Commerce, Community, and Economic Development for regulatory boards or agencies requiring licensing.

Alaska LLC Taxes to Be Paid

Alaska is one of those rarest states in the United States that do not have any personal taxes for LLC members on their LLC earnings. Since LLC has the advantage of pass-through taxation, no LLC is liable to file income tax returns. However, the members can be liable for paying some state taxes.

Sales Tax

Alaska is one of the 5 states that do not have any sales tax. So, no LLCs will have to pay sales tax if they are located in Alaska.

Corporate Tax

In Alaska, a single-member LLC, by default, considers as a sole proprietorship. On the other hand, a multi-member LLC is considered a partnership firm. They are being taxed following the sole proprietorship and partnership rules.

Currently, the tax rate in Alaska is up to 9.4% for corporations. Depending on other factors, the tax rate is decided.

Employment Tax

If your Alaska LLC has employees then you need to obtain an Employer Identification Number (EIN). The employment tax needs to be paid to the federal government. Along with that, one has to file Unemployment Insurance Tax which is paid to the state government.

Cost Comparison Among States

Alaska is a coastal state surrounded by the state of Hawaii and mostly Candania Province. Alaska is a huge state compared to other neighboring states. Here is a comparison among the other popular states,

StateFiling FeeAnnual Fee/Biennial Fee
Alaska LLC$250$100 (every 2 years)
Hawaii LLC$50$15 (Annual)
Oregon LLC$100$100 (Annual)
California LLC$70$800 (annual)+$20(every 2 years)
Washington LLC$200$60 (Annual)

Alaska is one of the states that have less tax burden. Though the filing cost is more than in Hawaii, the tax burden is much lesser in Alaska.

Other Costs

F.A.Qs

Can I start an LLC for free?

It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.

Is an LLC expensive?

It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.

Does an LLC need a bank account?

The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.

How Much Does It Cost to Maintain an LLC in Alaska

To maintain an LLC in Alaska you will need to pay a biennial fee of $100 along with corporate tax of 9.4% and federal taxes.

One of the upfront costs of starting an LLC in Alaska is the filing fee. The fee for filing articles of organization with the Alaska Division of Corporations, Business and Professional Licensing is relatively standard when compared to other states. This fee covers the administrative costs associated with the formation of the LLC and is required for the legal recognition of the business entity.

In addition to the initial filing fee, LLC owners in Alaska are also required to pay an annual report fee to maintain their LLC in good standing with the state. The annual report must be submitted each year and includes basic company information such as the names of members, business address, and registered agent information.

Another cost to be mindful of when maintaining an LLC in Alaska is the biennial report fee. Every two years, LLC owners are required to file a biennial report, which provides an update on the company’s activities and ensures that all information on file with the state is current and accurate. Failure to file the biennial report can result in penalties and potential dissolution of the LLC.

In addition to these mandatory fees, LLC owners in Alaska may also incur costs associated with hiring a registered agent. A registered agent is a person or company designated to receive legal documents on behalf of the LLC and is required by law in Alaska. Some business owners may choose to act as their own registered agent, while others may opt to hire a third-party service for this role.

Overall, while the cost of maintaining an LLC in Alaska is manageable, it is important for business owners to budget accordingly to cover the necessary fees and expenses. By staying on top of annual and biennial reporting requirements and ensuring compliance with state regulations, LLC owners can avoid potential fines and penalties that can negatively impact their business.

In conclusion, the costs associated with maintaining an LLC in Alaska are a necessary part of doing business in the state. While these expenses may vary depending on individual circumstances, it is important for business owners to factor them into their financial planning and budgeting. By staying informed and up to date on filing requirements, LLC owners can ensure the smooth operation of their business and avoid any potential setbacks.

In Conclusion

The cost of Alaska is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.

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