Connecticut vs New Hampshire LLC: fees, taxes, and which to pick
Data last updated: Apr 21, 2026Connecticut charges $120 to form an LLC; New Hampshire charges $100. 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, Connecticut runs about $40 less in total state fees than New Hampshire. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.
On speed, Connecticut typically clears standard online filings faster than New Hampshire. Both states offer expedited tiers at an additional cost for filers on tight timelines.
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
- New Hampshire costs $20 less to form ($100 vs $120).
- Connecticut is $20 per year cheaper to maintain ($180 vs $200).
- New Hampshire 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.
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 New Hampshire
- No state income tax
- No state sales tax
Both states
- Online filing
- Paid expedited tier
- No entity-level franchise or LLC tax
- 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 Connecticut, business operates there No foreign LLC registration needed. You pay Connecticut fees only. | $300 | $180 | $660 |
| You live in New Hampshire, business operates there No foreign LLC registration needed. You pay New Hampshire fees only. | $300 | $200 | $700 |
| Non-resident forming in Connecticut with operations elsewhere You pay Connecticut's fees plus a typical home-state foreign LLC registration of about $200 per year. | $500 | $380 | $1,260 |
| Non-resident forming in New Hampshire with operations elsewhere You pay New Hampshire's fees plus a typical home-state foreign LLC registration of about $200 per year. | $500 | $400 | $1,300 |
Connecticut vs New Hampshire: full comparison
| Dimension | Connecticut | New Hampshire |
|---|---|---|
| Online filing Can you file the formation document online? | Yes | Yes |
| Online approval time Standard, non-expedited | 5 business days | 10 business days |
| Expedited option Paid fast-track filing | $50 | $25 |
| Annual report Required in addition to tax | Required, $80 | Required, $100 |
| State-imposed annual tax Franchise, privilege, or LLC tax minimum | None | 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 | $120 | $100 |
| State sales tax General statewide rate | 6.3% | None |
Taxes in Connecticut and New Hampshire
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.
Connecticut tax
No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 7.5%.
New Hampshire tax
No entity-level franchise tax on LLCs. No state income tax. Corporate rate 7.5%.
Ongoing compliance
The recurring filings each state requires after formation.
Connecticut
Annual report $80, due 03/31 each year. Registered agent required in Connecticut.
New Hampshire
Annual report $100, due 04/01 each year. Registered agent required in New Hampshire.
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.
Connecticut
- Check business-name availability on the Connecticut entity search.
- Appoint a registered agent with a physical Connecticut street address.
- File Certificate of Organization (Limited Liability Company, Domestic) for $120.
- Wait for approval. Online typically 5 business days. Paid expedite from $50.
- Adopt an operating agreement (recommended, not required by Connecticut 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 $80 when it comes due.
New Hampshire
- Check business-name availability on the New Hampshire entity search.
- Appoint a registered agent with a physical New Hampshire street address.
- File Certificate of Formation (Form LLC-1) for $100.
- Wait for approval. Online typically 10 business days. Paid expedite from $25.
- Adopt an operating agreement (recommended, not required by New Hampshire 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 $100 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 Connecticut and New Hampshire (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 Connecticut or New Hampshire 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
Connecticut Secretary of the State, Business Services Division
- Website
- portal.ct.gov/sots
- Phone
- (860) 509-6003
- Business Services Division, P.O. Box 150470, Hartford, CT 06115-0470
- Office
- 165 Capitol Avenue, Suite 1000, Hartford, CT 06106
- Hours
- 8:30 AM to 4:30 PM Eastern, Monday to Friday
New Hampshire Secretary of State, Corporation Division
- Website
- www.sos.nh.gov/corporations-0
- Phone
- (603) 271-3246
- corporate@sos.nh.gov
- Corporation Division, 107 North Main Street, Room 204, Concord, NH 03301-4989
- Office
- State House, 107 North Main Street, Room 204, Concord, NH 03301
- Hours
- 8:00 AM to 4:30 PM Eastern, Monday to Friday
Connecticut Department of Revenue Services
- Website
- portal.ct.gov/drs
- Phone
- (860) 297-5962
- drs@ct.gov
- 450 Columbus Boulevard, Suite 1, Hartford, CT 06103
- Hours
- 8:30 AM to 4:30 PM Eastern, Monday to Friday
New Hampshire Department of Revenue Administration
- Website
- www.revenue.nh.gov
- Phone
- (603) 230-5000
- Governor Hugh Gallen State Office Park, 109 Pleasant Street (Medical and Surgical Building), Concord, NH 03301
- Office
- 109 Pleasant Street, Concord, NH 03301
- Hours
- 8:00 AM to 4:30 PM Eastern, Monday to Friday
Frequently Asked Questions
-
Is it cheaper to form an LLC in Connecticut or New Hampshire?
New Hampshire is cheaper at formation ($100) than Connecticut ($120). Ongoing costs are also different: $200 vs $180 per year. Total over three years: $700 vs $660.
-
Can I form an LLC in Connecticut if I live in New Hampshire?
Yes, but your New Hampshire business will almost certainly need to register as a foreign LLC in New Hampshire too, which means paying New Hampshire's foreign registration fee and any ongoing New Hampshire obligations on top of the Connecticut 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 Connecticut vs New Hampshire?
Connecticut online: 5 business days; New Hampshire online: 10 business days. Connecticut offers paid expedite from $50. New Hampshire offers paid expedite from $25.
-
Which state has lower taxes for an LLC, Connecticut or New Hampshire?
Connecticut: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax. New Hampshire: 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. Connecticut and New Hampshire 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 Connecticut or New Hampshire 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 Connecticut and New Hampshire comparisons
More Connecticut vs ...
Sources
- Filing fee: business.ct.gov/knowledge-base/articles/domestic-limited-liability-com… · verified April 21, 2026
Connecticut Secretary of the State Business Services: Certificate of Organization (formation of a domestic LLC) fee is $120. Same fee applies whether filed online through Business.CT.gov or by mail. - Expedited filing: business.ct.gov/knowledge-base/articles/expedited-services · verified April 21, 2026
Connecticut expedited service fee is $50 per transaction. Expedited service is only available for online filings through Business.CT.gov (not available for mail). Expedited filings typically process within 24 hours. - Annual report fee: business.ct.gov/knowledge-base/articles/domestic-limited-liability-com… · verified April 21, 2026
Annual Report fee = $80, filed online between January 1 and March 31 each year. Same $80 fee applies to foreign LLCs (Foreign Annual Report). - Franchise tax: www.cttaxalert.com/2019/08/business-entity-tax-repeal/ · verified April 21, 2026
Connecticut Public Act 19-117 (2019 budget bill) repealed the $250 biennial Business Entity Tax (Conn. Gen. Stat. Sec. 12-284b) effective for tax years beginning on or after January 1, 2020. Connecticut no longer imposes a franchise tax or business entity tax on LLCs. Flagged as applies: false per the instructions. - Foreign LLC registration fee: business.ct.gov/knowledge-base/articles/foreign-limited-liability-comp… · verified April 21, 2026
Connecticut Foreign Registration Statement (foreign LLC): $120 filing fee, matching the domestic Certificate of Organization. Foreign LLCs also file the $80 Annual Report between January 1 and March 31. - Sales tax rate: portal.ct.gov/drs/sales-tax/sales-and-use-tax-information · verified April 21, 2026
Connecticut Department of Revenue Services: statewide general sales and use tax rate is 6.35%. Connecticut does not authorize local sales taxes. A higher 7.75% rate applies to certain luxury goods and a 1% rate applies to computer and data processing services. - Corporate income tax rate: portal.ct.gov/drs/corporation-tax/corporation-business-tax · verified April 21, 2026
Connecticut Corporation Business Tax (CBT) base rate is 7.5% on net income. A 10% CBT surtax has been extended through income years beginning before January 1, 2026 by Public Act 24-151. The 7.5% is Connecticut's income-only corporate rate; the surtax and PTET are noted in taxes.notes rather than folded into this number. - Business name search: service.ct.gov/business/s/onlinebusinesssearch?language=en_US · verified April 21, 2026
Connecticut Business Records Search via the CT.gov portal. Use before filing to confirm name availability. - Online filing portal: business.ct.gov/ · verified April 21, 2026
Business.CT.gov is the official online filing portal for Connecticut business formation, annual reports, and amendments. Filings typically complete within 3 to 5 business days (standard) or about 1 business day with the $50 expedited fee. - Operating agreement requirement: law.justia.com/codes/connecticut/title-34/chapter-613a/section-34-243d… · verified April 21, 2026
Conn. Gen. Stat. Sec. 34-243a defines an operating agreement as the agreement of all members whether oral, implied, in a record, or any combination. No statutory requirement that the agreement be written or filed. Recorded as not required. - Publication requirement: law.justia.com/codes/connecticut/title-34/chapter-613a/ · verified April 21, 2026
Connecticut Uniform Limited Liability Company Act (Chapter 613a) contains no newspaper publication requirement. LLCs are not required to publish notice of formation. - Filing fee: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-12/form_ll… · verified April 21, 2026
New Hampshire Form LLC-1 Certificate of Formation: filing fee of $100 payable to State of New Hampshire. Online filing through NH QuickStart adds a $2 electronic processing surcharge (total $102). In-person walk-in filings carry an additional $25 expedite fee. - Expedited filing: sos.nh.gov/corporation-ucc-securities/corporation/forms-and-fees · verified April 21, 2026
New Hampshire Secretary of State Corporation Division: expedited service is available in person in the Customer Lobby for an additional $25 fee, providing next business day processing. Not offered for standard online or mail filings. Recorded the $25 walk-in tier. - Annual report fee: www.sos.nh.gov/corporations-0/file-annual-report · verified April 21, 2026
New Hampshire LLC annual report fee: $100 by mail or $102 online (includes $2 e-processing surcharge). Due April 1 each year. $50 late penalty applies if not filed by April 1. Filed through NH QuickStart. - Foreign LLC registration fee: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-11/form_fl… · verified April 21, 2026
New Hampshire Form FLLC-1 Application for Foreign Limited Liability Company Registration: filing fee of $100. Matches the domestic Certificate of Formation fee. - Operating agreement requirement: law.justia.com/codes/new-hampshire/title-xxviii/chapter-304-c/section-… · verified April 21, 2026
RSA 304-C:40 Form of Operating Agreement: an operating agreement may be written, oral, or implied by course of dealing or otherwise. New Hampshire does not require LLCs to adopt a written operating agreement. Recorded as not required. - Publication requirement: gc.nh.gov/rsa/html/nhtoc/nhtoc-xxviii-304-c.htm · verified April 21, 2026
New Hampshire RSA Chapter 304-C contains no newspaper publication requirement for LLC formation. Not required. - Corporate income tax rate: www.revenue.nh.gov/taxes-glance/business-taxes · verified April 21, 2026
New Hampshire Business Profits Tax (BPT) rate is 7.5% for taxable periods ending on or after December 31, 2023, and continuing for 2026 per NH DRA. This is the state's functional corporate income tax rate. Not combined with the 0.55% Business Enterprise Tax (BET), which is captured separately in taxes.notes per the playbook's maxCorporateRate = income-only rule. - Sales tax rate: www.revenue.nh.gov/ · verified April 21, 2026
New Hampshire imposes no general state sales tax. A 9% Meals and Rooms (Rentals) Tax applies to prepared food, hotel lodging, and motor vehicle rentals, but no broad retail sales tax exists. - Business name search: quickstart.sos.nh.gov/online/BusinessInquire · verified April 21, 2026
NH QuickStart Business Inquire portal. Use to confirm name availability before filing. - Online filing portal: quickstart.sos.nh.gov/online/Account/LandingPage · verified April 21, 2026
NH QuickStart online business filing portal. Current published online processing time is 10 to 15 business days. Online submissions carry a $2 electronic processing surcharge on top of the $100 filing fee. - Certificate of Formation name: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-12/form_ll… · verified April 21, 2026
Mail-in paper form titled 'Certificate of Formation' (Form LLC-1), revised October 2018. Online filers complete the equivalent form through NH QuickStart.