Arizona vs West Virginia LLC: fees, taxes, and which to pick

Key differences at a glance

• Arizona costs $50 less to form ($50 vs $100).
• Arizona is $25 per year cheaper to maintain ($100 vs $125).
• Arizona requires newly formed LLCs to publish a formation notice in local newspapers; this can add $50 to $1,800 depending on county.
• Arizona has no annual report filing at all. West Virginia requires an annual (or biennial) report every reporting period.

Where each state fits

For most filers, forming in the state you actually operate from is the right call. The side-by-side below shows where the two states meaningfully diverge.

What each state offers that the other does not

Three-year cost, side by side

Rough estimate of the state-facing cost to form and keep an LLC through three years. Both totals include a $100 per year registered-agent estimate.

What it costs under your specific situation

The table below runs the same LLC through four common scenarios. "Non-resident" rows assume a typical home-state foreign LLC registration adds about $200 per year of stacked cost; the real number depends on which state you live in and ranges from $50 to over $800 depending on jurisdiction.

Arizona vs West Virginia: full comparison

Taxes in Arizona and West Virginia

How each state handles entity-level tax on LLCs. Pass-through classification means member-level income tax also applies at each member's residence state.

Ongoing compliance

The recurring filings each state requires after formation.

Formation process, side by side

What actually happens from the moment you start filing to the moment you're in good standing. Use this as a checklist.

Before you pick either state

Agency contacts

Frequently Asked Questions

• Is it cheaper to form an LLC in Arizona or West Virginia?

  Arizona is cheaper at formation ($50) than West Virginia ($100). Ongoing costs are also different: $100 vs $125 per year. Total over three years: $350 vs $475.

• Can I form an LLC in Arizona if I live in West Virginia?

  Yes, but your West Virginia business will almost certainly need to register as a foreign LLC in West Virginia too, which means paying West Virginia's foreign registration fee and any ongoing West Virginia obligations on top of the Arizona ones. The "form elsewhere to save" math usually doesn't work for operating businesses; it only works when you have no physical operations tied to any specific state.

• How long does it take to form an LLC in Arizona vs West Virginia?

  Arizona online: 14 business days; West Virginia online: 5 business days. Arizona offers paid expedite from $35. West Virginia offers paid expedite from $25.

• Which state has lower taxes for an LLC, Arizona or West Virginia?

  Arizona: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax. West Virginia: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax.

• Do both states require a registered agent?

  Yes. Every US state (and DC) requires every LLC to maintain a registered agent with a physical street address in the state. Arizona and West Virginia both have this requirement. You can serve as your own agent if you live in the state; most out-of-state filers use a commercial agent for $50 to $125 per year.

• Does Arizona or West Virginia have a publication requirement?

  Arizona does. New LLCs must publish a formation notice in approved newspapers, which can add $50 to $1,800 to your first-year cost depending on the county where the LLC is based. West Virginia has no publication requirement.

• Which state should I pick if I run an online business from home?

  Form in the state you actually live in. Your home state's Department of Revenue treats your residence as nexus regardless of where the LLC is filed, which means you owe state income tax there anyway. Forming in Arizona or West Virginia to escape your home state's tax doesn't work; it adds paperwork. The non-resident filings make sense when you genuinely operate nowhere in particular: international founders, purely passive holding entities, or real-estate LLCs owning property in other states.

Full state guides

• ArizonaOpen Arizona LLC guide →
• West VirginiaOpen West Virginia LLC guide →

More Arizona and West Virginia comparisons

Sources

• Filing fee: azcc.gov/docs/default-source/corps-files/fee-schedules/fee-schedule-ll… · verified April 21, 2026
  Arizona Corporation Commission Schedule of Fees - Limited Liability Companies (A.R.S. Title 29), Rev. 3.2026. 'Articles of Organization' = $50 regular, $85 expedited (the $85 figure is the total, i.e. $50 base + $35 expedited surcharge).
• Expedited filing: azcc.gov/docs/default-source/corps-files/fee-schedules/fee-schedule-ll… · verified April 21, 2026
  Regular expedited processing for Articles of Organization totals $85 ($35 surcharge on top of the $50 base fee) and is generally completed within 3-5 business days. Arizona also offers Same Day/Next Day Accelerated Processing on top of expedited: Next Day = $100, Same Day = $200, 2-Hour = $400. We record the cheapest expedited tier (the $35 surcharge, approx 5 business days) in the struct.
• Foreign LLC registration fee: azcc.gov/docs/default-source/corps-files/fee-schedules/fee-schedule-ll… · verified April 21, 2026
  Foreign Registration Statement = $150 regular, $185 expedited. We record the regular fee.
• Operating agreement requirement: www.azleg.gov/ars/29/03105.htm · verified April 21, 2026
  A.R.S. §29-3105 (Arizona Limited Liability Company Act) recognizes an operating agreement as the governing document among members and permits it to be oral, written, implied, or any combination. There is no statutory requirement that an LLC adopt an operating agreement, so this is recorded as not required.
• Publication requirement: www.azleg.gov/ars/29/03201.htm · verified April 21, 2026
  A.R.S. §29-3201(G) requires newspaper publication of the notice of LLC formation in the county of the statutory agent's street address for three consecutive publications within 60 days after filing the Articles of Organization, unless the statutory agent's street address is in a county with a population of more than 800,000, in which case the Commission inputs the notice into its public notice database. Only Maricopa County and Pima County exceed that population threshold, so LLCs with statutory agents in those two counties are exempt (covering roughly 75% of Arizona's population). LLCs in the remaining 13 counties must arrange publication; typical newspaper cost is $60-$120.
• Franchise tax: azdor.gov/forms/corporate-income-tax-highlights · verified April 21, 2026
  Arizona has no franchise tax on LLCs or corporations. The Arizona Department of Revenue levies only a corporate income tax (4.9% on C-corp taxable income, $50 minimum) and the Transaction Privilege Tax (a gross-receipts-style sales tax at 5.6% statewide plus local rates), neither of which functions as a traditional franchise tax.
• Corporate income tax rate: azdor.gov/forms/corporate-income-tax-highlights · verified April 21, 2026
  Arizona corporate income tax is a flat 4.9% of Arizona taxable income (A.R.S. §43-1111) with a $50 minimum tax. LLCs are pass-through by default and do not owe corporate income tax unless they elect to be taxed as a C-corp. Recorded here for the maxCorporateRate informational field.
• Sales tax rate: azdor.gov/business/transaction-privilege-tax · verified April 21, 2026
  Arizona's statewide Transaction Privilege Tax (TPT) rate is 5.6%. TPT is technically a tax on the vendor's privilege of doing business rather than a consumer sales tax, but it functions as the state's sales tax. Counties and municipalities add their own TPT rates, with combined effective rates commonly ranging 7.5% to 11.2% across Arizona. Only the 5.6% statewide rate is recorded in salesTaxRate.
• Business name search: arizonabusinesscenter.azcc.gov/businesssearch · verified April 21, 2026
  The Arizona Corporation Commission retired the legacy eCorp system on January 12, 2026 and replaced it with the Arizona Business Center (ABC). The ABC portal hosts the current public business entity search and online filing system. The previous ecorp.azcc.gov URLs no longer resolve.
• Online filing portal: arizonabusinesscenter.azcc.gov/homepage · verified April 21, 2026
  Arizona Business Center is the ACC's official online business filing portal as of January 12, 2026. Articles of Organization, foreign registrations, and most maintenance filings are submitted here. Approval times are generally 12-15 business days for regular online filings, faster with the expedited surcharge.
• Certificate of Formation name: www.azcc.gov/docs/default-source/corps-files/forms/l010-articles-of-or… · verified April 21, 2026
  Form L010 - Articles of Organization (domestic LLC). Filers using the online Arizona Business Center portal complete an equivalent on-screen form. Instructions are published at azcc.gov as form L010i.
• Annual report: www.azcc.gov/corporations/forms/llc-forms · verified April 21, 2026
  Unlike Arizona corporations, Arizona LLCs do not file an annual report. The Arizona Corporation Commission's LLC forms page lists no annual report form for LLCs, and the LLC fee schedule does not include an annual report fee. This is confirmed by A.R.S. Title 29, Chapter 7, which imposes no annual report duty on LLCs.
• Filing fee: sos.wv.gov/register-new-wv-business · verified April 21, 2026
  West Virginia Secretary of State Register a New WV Business fee schedule: Limited Liability Company (LLC/PLLC) domestic filing fee is $100.00. An additional $1.00 online processing fee applies to filings through the WV One Stop Business Portal, bringing the online total to $101. Initial SoS registration fee may be waived for veteran-owned businesses and West Virginia-resident young entrepreneurs (age 18 to 29).
• Expedited filing: sos.wv.gov/business/general-information/expedite-service · verified April 21, 2026
  West Virginia Secretary of State Expedite Service fee schedule: 24-hour $25.00, 2-hour $250.00, 1-hour $500.00. Expedite fees are in addition to the regular filing fee. Available for paper and online filings. 24-hour $25 tier reported as default expedited service.
• Certificate of Formation form: sos.wv.gov/business/registration-and-waivers/register-new-wv-business · verified April 21, 2026
  Form LLD-1 Articles of Organization of Limited Liability Company (revised 07/2025). PDF delivered from the WV Secretary of State media system at sos.wv.gov/media/282. Alternative filing path is the WV One Stop Business Portal at onestop.wv.gov.
• Business name search: apps.wv.gov/SOS/BusinessEntitySearch/ · verified April 21, 2026
  WV Secretary of State Business Entity Search. Use to confirm name availability before filing Articles of Organization.
• Naming rules: code.wvlegislature.gov/31B-1-105/ · verified April 21, 2026
  WV Code §31B-1-105 (Uniform Limited Liability Company Act): sets LLC naming requirements including the required designator ('limited liability company,' 'LLC,' 'L.L.C.,' 'PLLC' for professional LLCs) and distinguishability from existing names on file with the Secretary of State.
• Operating agreement requirement: code.wvlegislature.gov/31B-1-103/ · verified April 21, 2026
  WV Code §31B-1-103(a): members of an LLC may enter into an operating agreement, which need not be in writing, to regulate the affairs of the company. West Virginia statute does not require LLCs to adopt a written operating agreement; the chapter's default rules govern when none exists. Recorded as not required.
• Publication requirement: code.wvlegislature.gov/31B-2-202/ · verified April 21, 2026
  WV Code Chapter 31B (Uniform Limited Liability Company Act) contains no newspaper publication requirement for LLC formation. Not required.
• Foreign LLC registration fee: sos.wv.gov/business/registration-and-waivers/register-out-state-foreig… · verified April 21, 2026
  West Virginia Foreign Registration fee schedule: Limited Liability Company (LLC/PLLC) foreign registration fee is $150.00. An additional $1.00 online processing fee applies to online filings. Form LLF-1 Application for Certificate of Authority is used for out-of-state LLCs registering to do business in WV.
• Annual report fee: sos.wv.gov/business/updates-and-changes/annual-reports · verified April 21, 2026
  WV Code §59-1-2a and WV Secretary of State Annual Reports page: annual report filing fee is $25.00, due between January 1 and June 30 each year following the calendar year of registration. Online filing through the WV One Stop Business Portal is mandatory for most entities (since 2019). Failure to file by June 30 may trigger penalties and administrative dissolution or revocation.
• Franchise tax: tax.wv.gov/Business/CorporateIncomeTax/Pages/CorporateIncomeTax.aspx · verified April 21, 2026
  West Virginia's general Business Franchise Tax was fully phased out effective January 1, 2015. The Business and Occupation (B&O) Tax in WV Code Chapter 11 Article 13 applies only to specific industries (electric power, natural gas storage, water utilities, certain telecom and synthetic-fuel operations under §§11-13-2d through 11-13-2o), not to general LLCs. Local municipal B&O taxes under Chapter 8 Article 13 are separate and vary by city. Recorded at the state level as applies: false.
• Corporate income tax rate: code.wvlegislature.gov/11-24-4/ · verified April 21, 2026
  WV Code §11-24-4(a)(8): flat corporate net income tax rate of six and one-half percent (6.5%) on West Virginia taxable income for taxable periods beginning on or after January 1, 2014. Applies to C-corporations and to LLCs electing C-corp treatment.
• Sales tax rate: tax.wv.gov/Business/SalesAndUseTax/Pages/SalesAndUseTax.aspx · verified April 21, 2026
  West Virginia Tax Division Sales and Use Tax: statewide rate is 6.0%. Most municipalities impose an additional 1% municipal sales and use tax (combined 7% in those cities). Granville, Ronceverte, and Welch begin imposing 1% municipal sales and use tax effective July 1, 2026. Annual sales tax holiday runs from the Friday before the first Sunday in August through the following Monday.