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Perhaps you are hoping to form a Missouri 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 Missouri.
Missouri LLC Cost of Filing
Here are the costs involved in forming an LLC in Missouri.
Cost of Filing Formation Certificates
The Missouri 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 Missouri Secretary of State.
Missouri Domestic LLC
- Online Filing costs $50.
- Annual Report filing Not Required.
- Name Reservation fee costs $7
- By Mail: Fill out the application form, and send it to Corporations Unit, James C. Kirkpatrick State Information Center P.O. Box 778, Jefferson City, MO 65102. Costs $105.
Missouri Foreign LLC
- Online Filing costs $105.
- Annual Report filing Not required
- Name Reservation fee – not available
- By Mail: Fill out the application form, and send it to Corporations Unit, James C. Kirkpatrick State Information Center P.O. Box 778, Jefferson City, MO 65102. Costs $105.
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.
Missouri LLC Formation Service or Registered Agent Fee
You need a registered agent to form an LLC in Missouri, 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.
LLC Service | Our Rating & Pricing | Top Features | Learn More |
#1 TOP PICK
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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 Missouri Department of Revenue for regulatory boards or agencies requiring licensing.
Taxes payable to the Missouri Department of Revenue
There are two types of taxes to be paid to the Missouri Department of Revenue:
State Income Tax
You have to pay state tax on any amount you pay to yourself. The earnings you make shall be taxed through your personal tax return. The standard rate of income tax which is 6.25% will be applicable & you can apply for all the standard allowances and deductions.
State Sales & Use Tax
If you are a seller of goods or you are a service provider, you have to collect tax & then pay it to the Missouri Department of Revenue. This State Sales & Use Tax can be collected at the time of purchase. The Sales & Use Tax varies in different regions, counties, & cities.
The current state sales & use tax rate on LLC in Missouri is 4.225%
Federal Taxes for Missouri LLC
As mentioned earlier, there are different federal taxes that every LLC in Missouri has to pay, in addition to the state taxes.
Federal Self-Employment Tax
Federal Self Employment Tax, also known as Social Security or Medicare tax, is to be paid by all the LLC Business members or managers. This kind of tax is applicable to all the earnings you withdraw from your business.
The Federal self-employment tax rate in Missouri is 15.3 percent, which includes 12.45 for social security & 2.9 for medicare.
Federal Income Tax
In addition to the state income tax, you have to pay the Federal Income tax on all the earnings you make in your Missouri LLC.
The amount of the Federal Income Tax depends upon your earnings, the income tax bracket in which you qualify, the deductions, & the manner/ mode of filing.
Employee & Employer Taxes
If you have a number of employees who draw monthly salaries, then there will be some added Employee-Employer taxes on that. These tax implications vary, depending on various factors, e.g., the amount, number of employees, etc.
Cost Comparison Between States
Missouri is surrounded by many states, namely Iowa, Illinois, Indiana, Arkansas, Oklahoma, Nebraska, etc. Each of these states has a different rate of taxes levied on LLCs. Let us take a look at this comparative chart.
| States | Filing Fee | Annual/Biennial Fee | Sales Tax |
| Missouri | $50 | None | 4.225% |
| Iowa | $50 | None | 0.36 to 8.98% |
| Illinois | $500 | $200 | 1.5% |
| Indiana | $90 | $30 | 7% |
| Nebraska | $125 | None | 5.5% |
Other Taxes
On the basis of the kind of industry you LLC operated in, your LLC will be liable to some other taxes & duties. For Example, if your LLC is in the sector of import & export, you have to pay the import-export duty. You should consult with a professional to verify the tax rates or business costs of registering an LLC in Missouri.
Other Costs
- Missouri Name Reservation: $25 for online filing or by mail
- Doing Business As (DBA): $7 for filing by mail
- Certified Document Copies: $10
- Certified of Good Standing: $10
- Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99/yr at NameCheap, and web hosting is at least $30/mo at Kinsta.
- Online workspace: at least $4.20/mo for GSuite.
- Business Insurance: would vary depending on insurance type–whether general liability insurance or professional liability insurance–and coverage.
- Dissolution of Missouri LLC: $25
F.A.Qs
It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.
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.
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 Missouri
To maintain an LLC in Missouri you do not need to pay an annual fee. However, state income tax at 6.25%, sales & use tax at 4.225% and federal taxes are levied.
One of the main costs of maintaining an LLC in Missouri is the annual report fee. Every LLC registered in Missouri is required to file an annual report with the Secretary of State and pay a fee. This annual report helps the state tract basic information about the LLC, such as its members, managers, and registered agent. Failing to file this report can result in hefty fines or even suspension of the LLC’s business privileges.
In addition to the annual report fee, Missouri LLCs must also pay a registration fee. This fee is typically due when the LLC is first formed and must be paid each time the LLC’s paperwork is updated, such as in the case of adding or removing members or changing the LLC’s name.
Another important cost to consider is the fee for hiring a registered agent. A registered agent is a person or entity designated to receive legal documents on behalf of the LLC. Missouri requires all LLCs to have a registered agent with a physical address within the state. Hiring a registered agent can be an ongoing expense for LLCs, especially if they choose to use a professional service rather than appointing a member or manager as the agent.
Depending on the industry in which the LLC operates, there may be additional costs associated with maintaining compliance with state regulations. For example, certain professions, such as healthcare or legal services, may require specific licenses or permits that come with their own fees.
Overall, the costs of maintaining an LLC in Missouri can vary depending on the size and nature of the business. It is important for business owners to budget for these expenses and stay on top of deadlines to avoid any penalties or legal issues. While these costs may seem daunting at first, the benefits of operating as an LLC – such as limited liability protection and potential tax advantages – often outweigh the financial burden. By properly managing the ongoing costs of maintaining an LLC, business owners can continue to reap the rewards of their business structure while staying in compliance with Missouri state laws.
In Conclusion
The cost of Missouri 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.