Arkansas vs Nevada LLC: fees, taxes, and which to pick
Data last updated: Apr 21, 2026Arkansas charges $50 to form an LLC; Nevada charges $425. Day-one sticker price is only part of the story, since most of the real cost comes from the annual obligations that stack up each year you keep the LLC open.
Over a rolling three-year window, Arkansas runs about $525 less in total state fees than Nevada. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.
Arkansas imposes an entity-level annual tax on every LLC ($150 minimum). Nevada does not. For pass-through LLCs that would otherwise owe nothing at the state level, that minimum is the deciding line.
For most small operators the choice is not really between these two states at all. It is between forming where the business actually operates and trying to route through a non-resident filing. The data below shows what each option actually costs.
Key differences at a glance
- Arkansas costs $375 less to form ($50 vs $425).
- Arkansas is $50 per year cheaper to maintain ($400 vs $450).
- Nevada has no state individual income tax; pass-through LLC income flows to members without a state layer. The other state does tax at the member level.
- Arkansas imposes an entity-level franchise or LLC tax that applies to pass-through LLCs. Nevada does not.
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
Only Nevada
- Paid expedited tier
- No state income tax
- No entity-level franchise or LLC tax
Both states
- Online filing
- No publication requirement
- Operating agreement not statutorily required
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.
Running total includes the one-time filing fee and annual ongoing costs (report fee or franchise tax plus a $100/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.
| Scenario | Year 1 | Each year after | 3-year total |
|---|---|---|---|
| You live in Arkansas, business operates there No foreign LLC registration needed. You pay Arkansas fees only. | $450 | $400 | $1,250 |
| You live in Nevada, business operates there No foreign LLC registration needed. You pay Nevada fees only. | $875 | $450 | $1,775 |
| Non-resident forming in Arkansas with operations elsewhere You pay Arkansas's fees plus a typical home-state foreign LLC registration of about $200 per year. | $650 | $600 | $1,850 |
| Non-resident forming in Nevada with operations elsewhere You pay Nevada's fees plus a typical home-state foreign LLC registration of about $200 per year. | $1,075 | $650 | $2,375 |
Arkansas vs Nevada: full comparison
| Dimension | Arkansas | Nevada |
|---|---|---|
| Online filing Can you file the formation document online? | Yes | Yes |
| Online approval time Standard, non-expedited | 2 business days | 2 business days |
| Expedited option Paid fast-track filing | Not offered | $125 |
| Annual report Required in addition to tax | Required, $150 | Required, $350 |
| State-imposed annual tax Franchise, privilege, or LLC tax minimum | $150 minimum | None |
| State income tax On pass-through LLC income at member level | Yes | No |
| Publication requirement Newspaper publication after formation | No | No |
| Operating agreement Required by state statute | Recommended, not required | Recommended, not required |
| Foreign LLC fee Cost to register as a foreign LLC in this state | $300 | $425 |
| State sales tax General statewide rate | 6.5% | 6.8% |
Taxes in Arkansas and Nevada
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.
Arkansas tax
$150 minimum annual tax (flat basis). State income tax applies to member-level pass-through income. Corporate rate 4.3%.
Nevada tax
No entity-level franchise tax on LLCs. No state income tax.
Ongoing compliance
The recurring filings each state requires after formation.
Arkansas
Annual report $150, due 05/01 each year. Registered agent required in Arkansas.
Nevada
Annual report $350, due on your anniversary month. Registered agent required in Nevada.
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.
Arkansas
- Check business-name availability on the Arkansas entity search.
- Appoint a registered agent with a physical Arkansas street address.
- File Certificate of Organization for Limited Liability Company (Form LL-01) for $50.
- Wait for approval. Online typically 2 business days. No paid expedite offered.
- Adopt an operating agreement (recommended, not required by Arkansas statute).
- Apply for a federal EIN (free from the IRS).
- Open a business bank account to separate personal and business finances.
- File your first annual report and pay $150 when it comes due.
Nevada
- Check business-name availability on the Nevada entity search.
- Appoint a registered agent with a physical Nevada street address.
- File Articles of Organization – Limited-Liability Company (NRS Chapter 86) for $425.
- Wait for approval. Online typically 2 business days. Paid expedite from $125.
- Adopt an operating agreement (recommended, not required by Nevada statute).
- Apply for a federal EIN (free from the IRS).
- Open a business bank account to separate personal and business finances.
- File your first annual report and pay $350 when it comes due.
Before you pick either state
A few things that apply no matter which state you choose. These trip up enough first-time filers that they're worth stating explicitly.
Registered agent is non-negotiable. Both Arkansas and Nevada (and every other US state) require every LLC to designate a registered agent with a physical street address in the state of formation. You can serve as your own agent if you live in the state; otherwise a commercial agent runs $50 to $125 per year. Using your own home address makes it part of the public record.
Forming elsewhere does not escape your home state's tax. If you live and operate a business from your home state, forming the LLC in Arkansas or Nevada does not avoid your home state's income tax. The moment you transact business at home, your home state requires a foreign LLC registration, and state tax liability follows your residence regardless of where the entity sits on paper.
EIN applications are free. The IRS issues Employer Identification Numbers directly at no cost. Any service charging you to "get your EIN" is reselling a free form submission. Single-member LLCs with no employees technically don't need one for federal tax, but nearly every bank requires an EIN to open a business account.
Operating agreement matters more than the state you pick. A well-drafted operating agreement governs member ownership, management, profit splits, buy-sell terms, and dissolution. Without one, your LLC runs on the state's default rules, which are rarely what you want. California, Maine, Missouri, and New York require a written one by statute; every other state treats it as strongly recommended.
Agency contacts
Arkansas Secretary of State, Business and Commercial Services Division
- Website
- www.sos.arkansas.gov/business-commercial-services-bcs
- Phone
- (501) 682-3409
- corprequest@sos.arkansas.gov
- Victory Building, 1401 W. Capitol Avenue, Suite 250, Little Rock, AR 72201
- Hours
- 8:00 AM to 4:00 PM Central, Monday to Friday
Nevada Secretary of State, Commercial Recordings Division
- Website
- www.nvsos.gov/sos/home
- Phone
- (775) 684-5708
- sosmail@sos.nv.gov
- 202 North Carson Street, Carson City, NV 89701-4201
- Hours
- 8:00 AM to 5:00 PM Pacific, Monday to Friday
Arkansas Department of Finance and Administration, Revenue Division
- Website
- www.dfa.arkansas.gov
- Phone
- (501) 682-7089
- Ragland Building, 1900 W. 7th Street, Room 2062, Little Rock, AR 72201
- Hours
- 8:00 AM to 4:30 PM Central, Monday to Friday
Nevada Department of Taxation
- Website
- tax.nv.gov
- Phone
- (866) 962-3707
- 1550 College Parkway, Suite 115, Carson City, NV 89706
- Hours
- 7:30 AM to 5:00 PM Pacific, Monday to Friday
Frequently Asked Questions
-
Is it cheaper to form an LLC in Arkansas or Nevada?
Arkansas is cheaper at formation ($50) than Nevada ($425). Ongoing costs are also different: $400 vs $450 per year. Total over three years: $1,250 vs $1,775.
-
Can I form an LLC in Arkansas if I live in Nevada?
Yes, but your Nevada business will almost certainly need to register as a foreign LLC in Nevada too, which means paying Nevada's foreign registration fee and any ongoing Nevada obligations on top of the Arkansas 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 Arkansas vs Nevada?
Arkansas online: 2 business days; Nevada online: 2 business days. Arkansas does not offer paid expedite. Nevada offers paid expedite from $125.
-
Which state has lower taxes for an LLC, Arkansas or Nevada?
Arkansas: state income tax applies to member-level pass-through income, plus a $150 minimum entity-level tax. Nevada: no state income tax, 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. Arkansas and Nevada 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.
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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 Arkansas or Nevada 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
More Arkansas and Nevada comparisons
More Arkansas vs ...
Sources
- Filing fee: www.sos.arkansas.gov/uploads/bcs/LLC_Fees1_1.pdf · verified April 21, 2026
Arkansas SoS BCS Limited Liability Company Filing Fees (Rev. 1/25) under Act 1041 of 2021: Certificate of Organization $50.00 flat. No separate online price shown on the official fee schedule. Online filings via ARK.org add a $5 portal processing fee on top of the $50 state fee. - Filing fee: www.sos.arkansas.gov/uploads/LL-01.pdf · verified April 21, 2026
Arkansas Form LL-01 Certificate of Organization (Rev. 10/21) footer states: Filing Fee $50.00 payable to Arkansas Secretary of State. - Expedited filing: www.sos.arkansas.gov/uploads/bcs/LLC_Fees1_1.pdf · verified April 21, 2026
No paid expedited tier is published on the Arkansas LLC fee schedule. The Doing Business in Arkansas 2025 handbook says online filings are normally updated within 48 hours and mailed filings within 72 hours of receipt, which functions as fast default processing. Recorded as offered: false. - Annual report fee: www.sos.arkansas.gov/business-commercial-services-bcs/franchise-tax-re… · verified April 21, 2026
Arkansas SoS Franchise Tax / Annual Report Forms page: Limited Liability Company (LLC or PLLC) online fee $150, paper fee $150. Online payment adds a $5.00 processing fee per ARK.org. - Franchise tax: www.sos.arkansas.gov/business-commercial-services-bcs/franchise-tax-re… · verified April 21, 2026
Under A.C.A. Section 26-54-101 et seq. (Arkansas Corporate Franchise Tax Act of 1979), LLCs pay a flat $150 annual franchise tax to the Secretary of State. Act 819 of 2021 moved administration of the tax from DFA to the SoS effective May 1, 2021. Due May 1 each year. - Sales tax rate: www.salestaxhandbook.com/arkansas · verified April 21, 2026
Arkansas statewide sales and use tax rate is 6.5 percent under A.C.A. Section 26-52-301. Rate has been unchanged since 2013. DFA Excise Tax pages confirm the rate but are Cloudflare-WAF blocked for scripted access; Sales Tax Handbook used as a public mirror pointing back to DFA. - Corporate income tax rate: taxfoundation.org/data/all/state/state-corporate-income-tax-rates-brac… · verified April 21, 2026
Arkansas top corporate income tax rate is 4.3 percent on taxable income over $11,000 (Tax Foundation 2025 State Corporate Income Tax Rates & Brackets), after Act 2 of the 2nd Extraordinary Session of 2023 cut the top rate from 5.1 percent. DFA corporate page is Cloudflare-blocked for scripted access. - Foreign LLC registration fee: www.sos.arkansas.gov/uploads/bcs/LLC_Fees1_1.pdf · verified April 21, 2026
Arkansas SoS BCS LLC Fees (Rev. 1/25): Application for Statement of Authority by foreign limited liability company $300.00 (item 13). This is the foreign LLC registration fee under the 2021 Uniform Limited Liability Company Act. - Business name search: www.sos.arkansas.gov/corps/search_all.php · verified April 21, 2026
Arkansas SoS business entity search. Confirm name availability before filing the Certificate of Organization. - Operating agreement requirement: law.justia.com/codes/arkansas/title-4/subtitle-3/chapter-38/ · verified April 21, 2026
Arkansas Uniform Limited Liability Company Act (A.C.A. Title 4, Chapter 38, Subchapter 1, Section 4-38-102(13)) defines operating agreement to include oral, implied, in a record, or any combination thereof. No statutory mandate that the agreement be in writing, filed, or adopted at all, so recorded as not required. - Filing fee: nevada.public.law/statutes/nrs_86.561 · verified April 21, 2026
Nevada formation bundles three mandatory filings at formation: (1) Articles of Organization $75 (NRS 86.561(1)(a)), (2) Initial List of Managers or Members $150 (NRS 86.263), (3) State Business License $200 (NRS 76.100/76.130). Combined minimum formation cost is $425. - Expedited filing: www.nvsos.gov/sos/businesses/processing-dates · verified April 21, 2026
Nevada offers a 24-hour expedited tier at $125, plus 2-hour service ($500) and 1-hour service ($1,000). Standard SilverFlume online submissions are typically processed within 1-2 business days without expedite. Same-day ($125) and 24-hour ($125) are often the same in practice. - Online filing portal: www.nvsilverflume.gov/home · verified April 21, 2026
SilverFlume is Nevada's official business portal for filing Articles of Organization, Initial List, and State Business License in one combined transaction. - Certificate of Formation form: www.nvsos.gov/sos/home/showpublisheddocument?id=6541 · verified April 21, 2026
Nevada Secretary of State Articles of Organization form for domestic Limited-Liability Company under NRS Chapter 86. - Business name search: esos.nv.gov/EntitySearch/OnlineEntitySearch · verified April 21, 2026
Nevada Secretary of State online entity search. - Operating agreement requirement: nevada.public.law/statutes/nrs_86.286 · verified April 21, 2026
NRS 86.286(1): 'A limited-liability company may, but is not required to, adopt an operating agreement.' No statutory requirement for a written or filed operating agreement. - Publication requirement: www.leg.state.nv.us/nrs/nrs-086.html · verified April 21, 2026
Nevada Chapter 86 imposes no newspaper publication requirement for LLC formation. - Foreign LLC registration fee: nevada.public.law/statutes/nrs_86.561 · verified April 21, 2026
NRS 86.561(1)(a): $75 for registration of a foreign limited-liability company. Foreign LLCs also owe the Initial List ($150) and State Business License ($200), so minimum registration is $425, mirroring domestic formation. - Annual report fee: nevada.public.law/statutes/nrs_86.263 · verified April 21, 2026
NRS 86.263 sets the Annual List of Managers or Members fee at $150. NRS 76.130 sets the annual State Business License renewal at $200. Total ongoing $350 due by the last day of the LLC's anniversary month. - Franchise tax: tax.nv.gov/businesses/commerce-tax/ · verified April 21, 2026
Nevada has no corporate franchise tax. The Commerce Tax applies only when Nevada-sourced gross revenue exceeds $4 million per fiscal year; industry rates range 0.051%–0.331%. - State income tax: tax.nv.gov/tax-types/ · verified April 21, 2026
Nevada has no state personal income tax and no corporate income tax. Nevada Constitution Article 10 prohibits a personal income tax without amendment. - Corporate income tax rate: tax.nv.gov/tax-types/ · verified April 21, 2026
Nevada has no corporate income tax. Recorded as null; the state imposes the Modified Business Tax (payroll) and Commerce Tax (gross receipts) instead. - Sales tax rate: tax.nv.gov/tax-types/sales-tax-use-tax/ · verified April 21, 2026
Nevada base state sales and use tax rate is 6.85%. County add-ons bring combined rates to 6.85%–8.375%.