{"id":100580,"date":"2018-01-01T10:00:00","date_gmt":"2018-01-01T10:00:00","guid":{"rendered":"http:\/\/llcbuddy-static-580"},"modified":"2018-01-01T10:00:00","modified_gmt":"2018-01-01T10:00:00","slug":"llc-cost-in-south-dakota","status":"publish","type":"post","link":"https:\/\/www.trendsmosaic.com\/index.php\/2018\/01\/01\/llc-cost-in-south-dakota\/","title":{"rendered":"LLC Cost in South Dakota \u2013 How Much to Pay for an LLC"},"content":{"rendered":"<details class=\"chlog\">\n<summary><svg class=\"chlog-ico\" fill=\"none\" height=\"21\" stroke=\"currentColor\" stroke-width=\"1.8\" viewbox=\"0 0 24 24\" width=\"21\"><circle cx=\"12\" cy=\"12\" r=\"9\"><\/circle><path d=\"M12 7.5V12l3 2\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><span class=\"chlog-lead\"><b>Page update history<\/b><span>Last updated Aug 25, 2026 \u00b7 published 2018<\/span><\/span><span class=\"chlog-count\">since 2018<\/span><svg class=\"chlog-chev\" fill=\"none\" height=\"18\" stroke=\"currentColor\" stroke-width=\"2\" viewbox=\"0 0 24 24\" width=\"18\"><path d=\"M6 9l6 6 6-6\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><\/summary>\n<div class=\"chlog-body\">\n<div class=\"chlog-item\">\n<div class=\"chlog-date\">Aug 25, 2026<\/div>\n<div class=\"chlog-sum\">Updated state filing and renewal fees for accuracy (Aug 2026).<\/div>\n<\/div>\n<details class=\"chlog-older\">\n<summary><svg class=\"cx\" fill=\"none\" height=\"15\" stroke=\"currentColor\" stroke-width=\"2.2\" viewbox=\"0 0 24 24\" width=\"15\"><path d=\"M6 9l6 6 6-6\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg><span class=\"lbl-more\">Show full history<\/span><span class=\"lbl-less\">Hide earlier history<\/span><\/summary>\n<div class=\"chlog-older-body\">\n<div class=\"chlog-gap\">We didn\u2019t keep a public change log during this period.<\/div>\n<div class=\"chlog-item is-pub\">\n<div class=\"chlog-date\">2018<\/div>\n<div class=\"chlog-sum\">Article first published.<\/div>\n<\/div>\n<\/div>\n<\/details>\n<\/div>\n<\/details>\n<p><img alt=\"south_dakota_state_seal\" class=\"img-small\" decoding=\"async\" height=\"250\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/south-dakota-llc\/llc-cost-in-south-dakota\/images\/south_dakota_state_seal.png\" width=\"250\"\/><\/p>\n<p>Perhaps you are hoping to form a <a href=\"https:\/\/www.trendsmosaic.com\/south-dakota-llc\/\">South Dakota LLC<\/a>. People assume that <a href=\"https:\/\/www.trendsmosaic.com\/\">starting an LLC<\/a> is difficult and costly. However, it&#8217;s generally not difficult, and the cost would vary across states. We have all the info you need to know about the <a href=\"https:\/\/www.trendsmosaic.com\/llc-cost\/\">cost of forming an LLC<\/a>, particularly the <a href=\"https:\/\/www.trendsmosaic.com\/south-dakota-llc\/llc-cost-in-south-dakota\/\">LLC cost in South Dakota<\/a>.<\/p>\n<div class=\"toc-content\">\n<h4>On this page<\/h4>\n<p><a href=\"\/#south-dakota-llc-cost-of-filing\">South Dakota LLC Cost of Filing<\/a><a href=\"\/#taxes-payable-to-the-south-dakota-department-of-revenue\">Taxes payable to the South Dakota Department of Revenue<\/a><a href=\"\/#cost-comparison-between-states\">Cost Comparison Between States<\/a><a href=\"\/#other-costs\">Other Costs<\/a><a href=\"\/#faqs\">F.A.Qs<\/a><\/div>\n<h2 id=\"south-dakota-llc-cost-of-filing\">South Dakota LLC Cost of Filing<\/h2>\n<p>Here are the costs involved in forming an LLC in South Dakota.<\/p>\n<h3 id=\"cost-of-filing-formation-certificates\">Cost of Filing Formation Certificates<\/h3>\n<p>The South Dakota Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you\u2019re forming a domestic LLC or a foreign LLC. Still, you can file both at the <a href=\"https:\/\/sdsos.gov\/Business-Services\/default.aspx\" rel=\"noopener noreferrer\" target=\"_blank\">South Dakota Secretary of State<\/a>.<\/p>\n<p><strong>South Dakota<\/strong> <strong>Domestic LLC<\/strong><\/p>\n<ul>\n<li>\n<p><a href=\"https:\/\/sosenterprise.sd.gov\/BusinessServices\/Business\/RegistrationType.aspx\" rel=\"noopener noreferrer\" target=\"_blank\">Online Filing<\/a> costs $150.<\/p>\n<\/li>\n<li>\n<p>Annual Report filing costs $55 online \/ $70 paper<\/p>\n<\/li>\n<li>\n<p>Name Reservation fee costs $25<\/p>\n<\/li>\n<li>\n<p><strong>By Mail:<\/strong> Fill out the <a href=\"https:\/\/www.trendsmosaic.com\/docs\/business\/llc-domestic-articlesoforganization.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">application form<\/a>, and send it to Secretary of State Office, 500 E Capitol Ave, Pierre, SD 57501. Costs $165.<\/p>\n<\/li>\n<\/ul>\n<p><strong>South Dakota<\/strong> <strong>Foreign LLC<\/strong><\/p>\n<ul>\n<li>\n<p><a href=\"https:\/\/sosenterprise.sd.gov\/BusinessServices\/Business\/RegistrationInstr.aspx\" rel=\"noopener noreferrer\" target=\"_blank\">Online Filing<\/a> costs $750.<\/p>\n<\/li>\n<li>\n<p>Annual Report filing costs $55 online \/ $70 paper<\/p>\n<\/li>\n<li>\n<p>Name Reservation fee costs $25<\/p>\n<\/li>\n<li>\n<p><strong>By Mail:<\/strong> Fill out the <a href=\"https:\/\/www.trendsmosaic.com\/docs\/business\/foreignllccertificateofauthority20180215.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">application form<\/a>, and send it to Secretary of State Office, 500 E Capitol Ave, Pierre, SD 57501. Costs $765.<\/p>\n<\/li>\n<\/ul>\n<p>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&#8217;t have to wait in a queue in doing so.<\/p>\n<h3 id=\"south-dakota-llc-formation-service-or-registered-agent-fee\">South Dakota LLC Formation Service or Registered Agent Fee<\/h3>\n<p>You need a <a href=\"https:\/\/www.trendsmosaic.com\/best-registered-agent-services\/\">registered agent<\/a> to form an LLC in South Dakota, hence, added costs for service fees. Here are three of the <a href=\"https:\/\/www.trendsmosaic.com\/best-llc-service\/\">best LLC services<\/a> on our list that will provide you with registered agents to ease your worries.<\/p>\n<p> Output for wptb id 44275 (used on ~332 pages): LLC service comparison.<br \/>\n     Logos in static\/logos\/: legalzoom.png, northwest.png. Styling: .ptable in theme\/style.css. <\/p>\n<div class=\"ptable\">\n<div class=\"ptable-head\">\n<span>LLC Service<\/span><br \/>\n<span>Our Rating<\/span><br \/>\n<span>Top Features<\/span><br \/>\n<span>Pricing<\/span>\n<\/div>\n<div class=\"ptable-row\">\n<div class=\"pt-service\">\n<span class=\"pt-badge\">#1 Top Pick<\/span><br \/>\n<a href=\"https:\/\/www.trendsmosaic.com\/go\/legalzoom\/\" rel=\"noopener noreferrer\" target=\"_blank\"><img decoding=\"async\" alt=\"LegalZoom\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/logos\/legalzoom.png\"\/><\/a>\n<\/div>\n<div class=\"pt-rating\">\n<div class=\"pt-stars-row\">\n<div aria-label=\"Rated 5 out of 5\" class=\"pt-stars\" role=\"img\" style=\"--rating:5\"><\/div>\n<p><span class=\"pt-num\">5.0<\/span>\n<\/div>\n<\/div>\n<ul class=\"pt-features\">\n<li>1-day rush filing (add-on)<\/li>\n<li>Attorney help (legal plan)<\/li>\n<li>Established reputation<\/li>\n<\/ul>\n<div class=\"pt-cta\">\n<div class=\"pt-price\">$0 <small>+ State Fees<\/small><\/div>\n<p><a class=\"btn\" href=\"https:\/\/www.trendsmosaic.com\/go\/legalzoom\/\" rel=\"noopener noreferrer\" target=\"_blank\">Start My LLC<\/a>\n<\/div>\n<\/div>\n<div class=\"ptable-row\">\n<div class=\"pt-service\">\n<a href=\"https:\/\/www.trendsmosaic.com\/go\/northwestregisteredagent\/\" rel=\"noopener noreferrer\" target=\"_blank\"><img decoding=\"async\" alt=\"Northwest Registered Agent\" loading=\"lazy\" src=\"https:\/\/www.trendsmosaic.com\/logos\/northwest.png\"\/><\/a>\n<\/div>\n<div class=\"pt-rating\">\n<div class=\"pt-stars-row\">\n<div aria-label=\"Rated 4.5 out of 5\" class=\"pt-stars\" role=\"img\" style=\"--rating:4.5\"><\/div>\n<p><span class=\"pt-num\">4.5<\/span>\n<\/div>\n<\/div>\n<ul class=\"pt-features\">\n<li>Free RA service for a year<\/li>\n<li>Customised LLC Package<\/li>\n<li>Transparent pricing<\/li>\n<\/ul>\n<div class=\"pt-cta\">\n<div class=\"pt-price\">$39 <small>+ State Fees<\/small><\/div>\n<p><a class=\"btn\" href=\"https:\/\/www.trendsmosaic.com\/go\/northwestregisteredagent\/\" rel=\"noopener noreferrer\" target=\"_blank\">Get Started<\/a>\n<\/div>\n<\/div>\n<\/div>\n<h3 id=\"business-permits-and-licenses\">Business Permits and Licenses<\/h3>\n<p>The <a href=\"https:\/\/www.trendsmosaic.com\/business-license-search\/\">business licenses<\/a> depend on your business&#8217;s activity and location and are renewed yearly. As such, the cost will vary. Check the <a href=\"https:\/\/www.trendsmosaic.com\/business-license-search\/\">South Dakota Department of Revenue<\/a> for regulatory boards or agencies requiring licensing.<\/p>\n<h2 id=\"taxes-payable-to-the-south-dakota-department-of-revenue\">Taxes payable to the South Dakota Department of Revenue<\/h2>\n<p>An LLC in South Dakota has to pay several State as well as Federal Taxes at the stage of formation &amp; during its operation. Read this article to know more about these taxes. The South Dakota State Department of Revenue charges several taxes on an LLC. The two main State Taxes are:<\/p>\n<h3 id=\"state-income-tax\">State Income Tax<\/h3>\n<p>The state of South Dakota does not charge any State Income Tax on the earnings made by an LLC. Which means more savings on all the income you draw through your LLC.<\/p>\n<h3 id=\"state-sales-use-tax\">State Sales &amp; Use Tax<\/h3>\n<p>Every LLC which is a service provider or is a seller of tangible goods is bound to the sales &amp; use tax in South Dakota. The LLC has to collect taxes &amp; then pay those to the South Dakota Department of Revenue. The Sales &amp; Use Tax is different in different regions, counties, &amp; cities. The current state sales &amp; use tax rate on LLC in South Dakota is 4.5%<\/p>\n<h3 id=\"federal-self-employment-tax\">Federal Self-Employment Tax<\/h3>\n<p>As the name suggests, Federal Self-Employment Tax is paid by all the LLC Business members or managers. This kind of tax applies to all the earnings a member withdraws from the business.<\/p>\n<p>The Federal self-employment tax rate in South Dakota is 15.3 percent.<\/p>\n<h3 id=\"federal-income-tax\">Federal Income Tax<\/h3>\n<p>The Federal Income Tax is calculated on the basis of the earnings, the income tax bracket your LLC falls, the deductions, &amp; the manner\/ mode of filing.<\/p>\n<p>Federal Income Tax is levied on all the profits your LLC makes minus the deductions &amp; allowances such as Healthcare or Retirement Plans.<\/p>\n<h3 id=\"employee-employer-taxes\">Employee &amp; Employer Taxes<\/h3>\n<p>If you have several employees who draw monthly salaries, there will be some added Employee-Employer taxes. These tax implications vary, depending on various factors, e.g., the amount, number of employees, etc.<\/p>\n<h2 id=\"cost-comparison-between-states\">Cost Comparison Between States<\/h2>\n<p>South Dakota is surrounded by many states, namely Nebraska, Wyoming, Montana, North Dakota, etc. Each of these states has a different rate of taxes levied on LLCs. Let us take a look at this comparative chart.<\/p>\n<table>\n<thead>\n<tr>\n<th>States<\/th>\n<th>Filing Fee<\/th>\n<th>Annual\/Biennial Fee<\/th>\n<th>Sales Tax<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>South Dakota<\/td>\n<td>$150<\/td>\n<td>$50<\/td>\n<td>4.5%<\/td>\n<\/tr>\n<tr>\n<td>Nebraska<\/td>\n<td>$125<\/td>\n<td>Not required<\/td>\n<td>5.5%<\/td>\n<\/tr>\n<tr>\n<td>Wyoming<\/td>\n<td>$102<\/td>\n<td>$50<\/td>\n<td>4%<\/td>\n<\/tr>\n<tr>\n<td>Montana<\/td>\n<td>$70<\/td>\n<td>$10<\/td>\n<td>None<\/td>\n<\/tr>\n<tr>\n<td>North Dakota<\/td>\n<td>$135<\/td>\n<td>$50<\/td>\n<td>5%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Based on the kind of industry you LLC operated in, your LLC will be liable to some other taxes &amp; duties. For Example, if your LLC is in the sector of import &amp; 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 South Dakota.<\/p>\n<h2 id=\"other-costs\">Other Costs<\/h2>\n<ul>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/south-dakota-llc\/south-dakota-llc-name-search\/\">South Dakota Name Reservation<\/a>: $25 <a href=\"https:\/\/www.trendsmosaic.com\/docs\/business\/reservationofllcname20180215.pdf\" rel=\"noopener noreferrer\" target=\"_blank\">by mail<\/a><\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/how-to-file-a-dba\/\">Doing Business As (DBA)<\/a>: $10 for <a href=\"https:\/\/sosenterprise.sd.gov\/BusinessServices\/Business\/UnregisteredOwnersInstr.aspx\" rel=\"noopener noreferrer\" target=\"_blank\">online filling<\/a><\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/sosenterprise.sd.gov\/BusinessServices\/Business\/CertifiedCopiesInstr.aspx\" rel=\"noopener noreferrer\" target=\"_blank\">Certified Document Copies<\/a>: $15 + $2 per page.<\/p>\n<\/li>\n<li>\n<p>Certified of Good Standing: $20<\/p>\n<\/li>\n<li>\n<p>Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99\/yr at <a href=\"https:\/\/www.trendsmosaic.com\/go\/namecheap\/\" rel=\"noopener noreferrer\" target=\"_blank\">N<\/a><a href=\"https:\/\/www.trendsmosaic.com\/go\/namecheap\/\" rel=\"noopener noreferrer\" target=\"_blank\">ameCheap<\/a>, and web hosting is at least $30\/mo at <a href=\"https:\/\/www.trendsmosaic.com\/go\/kinsta\/\" rel=\"noopener noreferrer\" target=\"_blank\">Kinsta<\/a>.<\/p>\n<\/li>\n<li>\n<p>Online workspace: at least $4.20\/mo for <a href=\"https:\/\/www.trendsmosaic.com\/go\/gsuite\/\" rel=\"noopener noreferrer\" target=\"_blank\">GSuite<\/a>.<\/p>\n<\/li>\n<li>\n<p>Business Insurance: would vary depending on insurance type&#8211;whether <a href=\"https:\/\/www.trendsmosaic.com\/general-liability-insurance\/\">general liability insurance<\/a> or <a href=\"https:\/\/www.trendsmosaic.com\/professional-liability-insurance\/\">professional liability insurance<\/a>&#8211;and coverage.<\/p>\n<\/li>\n<li>\n<p><a href=\"https:\/\/www.trendsmosaic.com\/south-dakota-llc\/south-dakota-llc-dissolution\/\">Dissolution of South Dakota LLC<\/a>: $10<\/p>\n<\/li>\n<\/ul>\n<h2 id=\"faqs\">F.A.Qs<\/h2>\n<details class=\"faq\">\n<summary>Can I start an LLC for free?<\/summary>\n<div class=\"faq-a\">\n<p>It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.<\/p>\n<\/div>\n<\/details>\n<details class=\"faq\">\n<summary>Is an LLC expensive?<\/summary>\n<div class=\"faq-a\">\n<p>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&#8217;ll still have expenses like form fees to cover.<\/p>\n<\/div>\n<\/details>\n<details class=\"faq\">\n<summary>Does an LLC need a bank account?<\/summary>\n<div class=\"faq-a\">\n<p>The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.<\/p>\n<\/div>\n<\/details>\n<h4 id=\"how-much-does-it-cost-to-maintain-an-llc-in-south-dakota\">How Much Does It Cost to Maintain an LLC in South Dakota<\/h4>\n<p>To maintain an LLC in South Dakota you will need to pay an annual fee of $55 online \/ $70 paper along with state sales &amp; use tax at 4.5% and federal taxes.<\/p>\n<p>One of the primary costs associated with maintaining an LLC in South Dakota is the annual report fee. All LLCs operating in the state are required to file an annual report with the Secretary of State and pay a fee to maintain their status as a registered entity. Failure to file this report can result in penalties or even dissolution of the business. The fee for the annual report is relatively minimal compared to other states, but it is still an important expense that LLC owners need to budget for each year.  <\/p>\n<p>Another expense that LLC owners need to consider is the franchise tax. South Dakota does not impose a traditional franchise tax on LLCs like some other states do, but there may still be a minimum tax or other fees that LLCs need to pay to maintain their registration. These fees can vary depending on the size and structure of the business, so it&#8217;s important for LLC owners to consult with a tax professional to understand their obligations.  <\/p>\n<p>In addition to these ongoing fees, LLC owners in South Dakota may also need to budget for other costs such as business licenses, permits, and additional filings required for certain industries. These expenses can add up quickly, so it&#8217;s important for entrepreneurs to create a solid financial plan to cover these costs and avoid any surprises down the road.  <\/p>\n<p>While the costs of maintaining an LLC in South Dakota can add up, the benefits of operating as a limited liability company often outweigh these expenses. The liability protection that an LLC provides can shield business owners from personal liability for business debts and lawsuits, which can give entrepreneurs peace of mind as they grow their business.  <\/p>\n<p>Ultimately, the decision to operate as an LLC in South Dakota should not be taken lightly, and entrepreneurs need to carefully consider the ongoing costs associated with maintaining this business structure. By understanding these expenses and budgeting accordingly, LLC owners can ensure that their business remains in good standing with the state and continues to thrive for years to come.<\/p>\n<h4 id=\"in-conclusion\">In Conclusion<\/h4>\n<p>The cost of doing business in South Dakota is much lower compared to other states. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the prices of professional LLC services and choose the most affordable one. <strong>Hiring professionals, like <a href=\"https:\/\/www.trendsmosaic.com\/go\/form-llc\/\" rel=\"noopener noreferrer\" target=\"_blank\">LegalZoom<\/a>, which offers LLC formation at $0<\/strong>, can be profitable, as there will be no additional cost to form an LLC.<\/p>\n<div class=\"helpful\" id=\"helpfulWidget\">\n<div class=\"helpful-q\">\n<h3>Was this page helpful?<\/h3>\n<div class=\"helpful-btns\">\n<button class=\"helpful-btn\" data-v=\"yes\" type=\"button\">\ud83d\udc4d Yes<\/button><br \/>\n<button class=\"helpful-btn\" data-v=\"no\" type=\"button\">\ud83d\udc4e No<\/button>\n<\/div>\n<\/div>\n<p class=\"helpful-thanks\">\ud83d\ude4f <b>Thanks for your feedback!<\/b> It helps us keep this guide accurate.<\/p>\n<\/div>\n<div class=\"pref-src-block\">\n<div class=\"pref-src-copy\">\n<span class=\"pref-src-label\">Find LLCBuddy first on Google<\/span><br \/>\n<span class=\"pref-src-sub\">Add us as a preferred source to see our guides in Google Search, Discover &amp; AI Overviews.<\/span>\n<\/div>\n<div class=\"pref-src\" data-lang=\"en\" google-add-preferred-source-btn=\"\"><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Discover the true costs of forming an LLC in South Dakota, including filing fees and tax benefits, to make informed business decisions.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[44],"tags":[],"class_list":["post-100580","post","type-post","status-publish","format-standard","hentry","category-south-dakota-llc"],"_links":{"self":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts\/100580","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/comments?post=100580"}],"version-history":[{"count":0,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/posts\/100580\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/media?parent=100580"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/categories?post=100580"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.trendsmosaic.com\/index.php\/wp-json\/wp\/v2\/tags?post=100580"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}