Georgia charges $100 to form an LLC; Pennsylvania charges $125. 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, Pennsylvania runs about $104 less in total state fees than Georgia. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.

On speed, Pennsylvania typically clears standard online filings faster than Georgia. 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.

Formation filing fee
Georgia $100
Pennsylvania $125
Georgia saves $25
Year 1 total estimate
Georgia $250
Pennsylvania $232
Pennsylvania saves $18
Ongoing per year
Georgia $150
Pennsylvania $107
Pennsylvania saves $43
3-year total
Georgia $550
Pennsylvania $446
Pennsylvania saves $104

Key differences at a glance

  • Georgia costs $25 less to form ($100 vs $125).
  • Pennsylvania is $43 per year cheaper to maintain ($107 vs $150).

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.

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.

Georgia Pennsylvania
Year 1
$250
$232
Year 2
$400
$339
Year 3
$550
$446

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 Georgia, business operates there
No foreign LLC registration needed. You pay Georgia fees only.
$250 $150 $550
You live in Pennsylvania, business operates there
No foreign LLC registration needed. You pay Pennsylvania fees only.
$232 $107 $446
Non-resident forming in Georgia with operations elsewhere
You pay Georgia's fees plus a typical home-state foreign LLC registration of about $200 per year.
$450 $350 $1,150
Non-resident forming in Pennsylvania with operations elsewhere
You pay Pennsylvania's fees plus a typical home-state foreign LLC registration of about $200 per year.
$432 $307 $1,046

Georgia vs Pennsylvania: full comparison

Dimension Georgia Pennsylvania
Online filing
Can you file the formation document online?
Yes Yes
Online approval time
Standard, non-expedited
7 business days 3 business days
Expedited option
Paid fast-track filing
$100 $100
Annual report
Required in addition to tax
Required, $50 Required, $7
State-imposed annual tax
Franchise, privilege, or LLC tax minimum
None None
State income tax
On pass-through LLC income at member level
Yes Yes
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
$225 $250
State sales tax
General statewide rate
4.0% 6.0%

Taxes in Georgia and Pennsylvania

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.

Georgia tax

No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 5.2%.

Pennsylvania tax

No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 7.5%.

Ongoing compliance

The recurring filings each state requires after formation.

Georgia

Annual report $50, due 04/01 each year. Registered agent required in Georgia.

Pennsylvania

Annual report $7, due 09/30 each year. Registered agent required in Pennsylvania.

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.

Georgia

  1. Check business-name availability on the Georgia entity search.
  2. Appoint a registered agent with a physical Georgia street address.
  3. File Articles of Organization for LLC (CD 030) for $100.
  4. Wait for approval. Online typically 7 business days. Paid expedite from $100.
  5. Adopt an operating agreement (recommended, not required by Georgia statute).
  6. Apply for a federal EIN (free from the IRS).
  7. Open a business bank account to separate personal and business finances.
  8. File your first annual report and pay $50 when it comes due.

Pennsylvania

  1. Check business-name availability on the Pennsylvania entity search.
  2. Appoint a registered agent with a physical Pennsylvania street address.
  3. File Certificate of Organization – Domestic Limited Liability Company (DSCB:15-8821) for $125.
  4. Wait for approval. Online typically 3 business days. Paid expedite from $100.
  5. Adopt an operating agreement (recommended, not required by Pennsylvania statute).
  6. Apply for a federal EIN (free from the IRS).
  7. Open a business bank account to separate personal and business finances.
  8. File your first annual report and pay $7 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 Georgia and Pennsylvania (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 Georgia or Pennsylvania 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

Georgia Secretary of State, Corporations Division

Website
sos.ga.gov
Phone
(404) 656-2817
Mail
2 Martin Luther King Jr. Dr. SE, Suite 313 West Tower, Atlanta, GA 30334
Office
214 State Capitol, Atlanta, GA 30334
Hours
8:00 AM to 5:30 PM Eastern, Monday to Friday

Pennsylvania Department of State, Bureau of Corporations and Charitable Organizations

Website
www.pa.gov/agencies/dos/programs/business.html
Phone
(717) 787-1057
Email
RA-CORPS@pa.gov
Mail
Bureau of Corporations and Charitable Organizations, 401 North Street, 206 North Office Building, Harrisburg, PA 17120
Office
401 North Street, 206 North Office Building, Harrisburg, PA 17120
Hours
8:00 AM to 4:45 PM Eastern, Monday to Friday

Georgia Department of Revenue

Website
dor.georgia.gov
Phone
(877) 423-6711
Mail
1800 Century Boulevard NE, Atlanta, GA 30345
Hours
8:00 AM to 5:00 PM Eastern, Monday to Friday

Pennsylvania Department of Revenue

Website
www.pa.gov/agencies/revenue.html
Phone
(717) 787-1064
Mail
Pennsylvania Department of Revenue, 1131 Strawberry Square, Harrisburg, PA 17128
Office
Strawberry Square, Harrisburg, PA 17128
Hours
8:00 AM to 5:00 PM Eastern, Monday to Friday

Frequently Asked Questions

  • Is it cheaper to form an LLC in Georgia or Pennsylvania?

    Georgia is cheaper at formation ($100) than Pennsylvania ($125). Ongoing costs are also different: $150 vs $107 per year. Total over three years: $550 vs $446.

  • Can I form an LLC in Georgia if I live in Pennsylvania?

    Yes, but your Pennsylvania business will almost certainly need to register as a foreign LLC in Pennsylvania too, which means paying Pennsylvania's foreign registration fee and any ongoing Pennsylvania obligations on top of the Georgia 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 Georgia vs Pennsylvania?

    Georgia online: 7 business days; Pennsylvania online: 3 business days. Georgia offers paid expedite from $100. Pennsylvania offers paid expedite from $100.

  • Which state has lower taxes for an LLC, Georgia or Pennsylvania?

    Georgia: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax. Pennsylvania: 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. Georgia and Pennsylvania 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.

  • 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 Georgia or Pennsylvania 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 Georgia and Pennsylvania comparisons

Sources

  • Filing fee: sos.ga.gov/sites/default/files/forms/Reference%20-%20Filing%20Fees_0.p… · verified April 21, 2026
    Georgia Secretary of State Corporations Division Filing Fees reference (Rev. 8/2025, effective September 6, 2025). Domestic LLC Articles of Organization filing fee is $100 (online) or $110 by mail ($100 filing + $10 paper service charge). Online filing through ecorp.sos.ga.gov includes only the $100 base fee.
  • Expedited filing: sos.ga.gov/how-to-guide/filing-fees-and-expedited-processing-document-… · verified April 21, 2026
    Georgia SOS expedited service ladder: 2 business days = $100 additional; same business day (submitted before noon) = $250 additional; 1-hour = $1,000 additional. Online filings generally process within 5-10 business days without expedite. We report the 2-business-day tier ($100 / 48 hours) as the cheapest expedited option.
  • Annual report fee: sos.ga.gov/how-to-guide/how-file-annual-registration · verified April 21, 2026
    Georgia annual registration for LLCs: $50 base filing fee plus $10 service charge ($60 total per year) under the fee schedule revised August 2025 and applicable September 6, 2025. Due between January 1 and April 1 each year following the year of formation. O.C.G.A. §14-11-1103.
  • Franchise tax: dor.georgia.gov/net-worth-tax-corporations-faq · verified April 21, 2026
    Georgia Department of Revenue net worth tax FAQ. Net worth tax applies to C and S corporations and LLCs taxed as corporations. Pass-through LLCs (single-member disregarded entities and partnership-taxed LLCs) are not subject. Therefore Georgia has no franchise/net-worth tax on a default-classified LLC.
  • Operating agreement requirement: law.justia.com/codes/georgia/title-14/chapter-11/article-1/section-14-… · verified April 21, 2026
    O.C.G.A. §14-11-101 defines 'operating agreement' as any agreement, written or oral, of the members. No statute requires a written or filed operating agreement. Justia mirror used because sos.ga.gov is behind Cloudflare WAF; confirm language at the official source when possible.
  • Foreign LLC registration fee: sos.ga.gov/sites/default/files/forms/Application%20-%20Certificate%20o… · verified April 21, 2026
    Georgia SOS Form CD-241 Application for Certificate of Authority for Foreign LLC. Filing fee $225 online; $235 by mail (includes $10 paper service charge). Rev. 8/2025 fee schedule.
  • Publication requirement: sos.ga.gov/sites/default/files/forms/Filing%20Procedure%20-%20Limited%… · verified April 21, 2026
    Georgia's LLC formation filing procedure does not require newspaper publication. Publication notices are a Georgia corporation-only requirement (O.C.G.A. §14-2-201.1); the LLC Act has no parallel provision.
  • Business name search: ecorp.sos.ga.gov/BusinessSearch · verified April 21, 2026
    Georgia eCorp business entity search. Confirm name availability before filing CD 030.
  • Sales tax rate: dor.georgia.gov/sales-tax-rates-general · verified April 21, 2026
    Georgia Department of Revenue Sales Tax Rates – General page. Statewide rate is 4%; county and local add-ons bring combined rates to 6-9% depending on jurisdiction. General Rate Chart effective January 1, 2026 – March 31, 2026.
  • Corporate income tax rate: dor.georgia.gov/taxes/important-tax-updates · verified April 21, 2026
    HB 111 (signed April 15, 2025) reduced Georgia's corporate income tax rate from 5.39% to 5.19% effective for tax years beginning on or after January 1, 2025. Applies to C-corp income (not default-classified LLCs). Further reductions toward 4.99% are scheduled subject to annual revenue triggers.
  • Filing fee: www.pa.gov/agencies/dos/programs/business/fees-and-payments · verified April 21, 2026
    Pennsylvania Department of State 'Fees and Payments' schedule: Certificate of Organization (domestic LLC) = $125. Veterans, reservists, and National Guard members may qualify for fee waiver with proof of service.
  • Expedited filing: www.pa.gov/agencies/dos/programs/business/fees-and-payments · verified April 21, 2026
    PA Department of State expedited service tiers (over-the-counter or electronic only, not available by mail): Same-day (request in by 10 AM) $100; 3-hour (by 2 PM) $300; 1-hour (by 4 PM) $1,000. We report same-day $100 as the cheapest expedited tier.
  • Certificate of Formation form: www.pa.gov/agencies/dos/programs/business/types-of-filings-and-registr… · verified April 21, 2026
    A Pennsylvania LLC is formed by filing Certificate of Organization (DSCB:15-8821) together with a Docketing Statement (DSCB:15-134A) with the Bureau of Corporations and Charitable Organizations. Fillable PDF is hosted at pa.gov.
  • Online filing portal: hub.business.pa.gov/ · verified April 21, 2026
    PA Business One-Stop Hub (Keystone Login). Online filing portal for Certificate of Organization, annual report, amendments, and UCC. Online LLC formation is typically approved within 1–3 business days based on the Department's published Business Filing Services guidance.
  • Business name search: file.dos.pa.gov/search/business · verified April 21, 2026
    Pennsylvania business entity search, operated by the Department of State. Cloudflare bot-verification gate appears on first load; page otherwise resolves normally.
  • Naming rules: www.palegis.us/statutes/consolidated/view-statute?iFrame=true&txtType=… · verified April 21, 2026
    15 Pa.C.S. Chapter 2 (Entities Generally): Sections 202 (requirements for names) and 204 (name restrictions, including required designators such as 'company,' 'limited,' 'limited liability company,' or an abbreviation). Official Pennsylvania General Assembly statutes.
  • Operating agreement requirement: www.palegis.us/statutes/consolidated/view-statute?iFrame=true&txtType=… · verified April 21, 2026
    15 Pa.C.S. §8815 recognizes operating agreements (written, oral, or implied) but does not require LLCs to adopt one. Under Chapter 88 (Pennsylvania Uniform Limited Liability Company Act of 2016), default statutory rules govern in the absence of an operating agreement.
  • Publication requirement: www.pa.gov/agencies/dos/programs/business/types-of-filings-and-registr… · verified April 21, 2026
    PA Department of State LLC information page: 'No advertising is required when forming a domestic limited liability company.' The old pre-2017 publication rule was repealed by Act 170 of 2016.
  • Foreign LLC registration fee: www.pa.gov/agencies/dos/programs/business/fees-and-payments · verified April 21, 2026
    PA DOS fee schedule: Foreign Registration Statement (foreign LLC) = $250.
  • Annual report fee: www.pa.gov/agencies/dos/programs/business/types-of-filings-and-registr… · verified April 21, 2026
    Pennsylvania Annual Reports page: under Act 122 of 2022, LLCs must file an annual report (Form DSCB:15-146) each year between January 1 and September 30. Fee is $7 for for-profit LLCs. Beginning with 2027 filings, non-compliance triggers administrative dissolution 6 months after the deadline.
  • Franchise tax: www.pa.gov/agencies/revenue/resources/tax-rates/corporation-tax-rates · verified April 21, 2026
    Pennsylvania eliminated the Capital Stock/Foreign Franchise Tax effective for tax years beginning January 1, 2016. No franchise or capital stock tax applies to LLCs. Restricted professional companies pay a separate annual registration fee of at least $500 under 15 Pa.C.S. §8998.
  • Corporate income tax rate: www.pa.gov/agencies/revenue/resources/tax-rates/corporation-tax-rates · verified April 21, 2026
    PA Department of Revenue Corporate Net Income Tax rate for 2026 = 7.49% (Act 53 of 2022 schedule). Rate steps down 0.5 points per year to 4.99% by 2031. Applies to C-corps and to LLCs that elect C-corp treatment.
  • Sales tax rate: www.pa.gov/agencies/revenue/resources/tax-types-and-information/sales-… · verified April 21, 2026
    Pennsylvania Sales, Use and Hotel Occupancy Tax base rate is 6%. Allegheny County adds 1% local tax and Philadelphia adds 2% local tax; statewide base rate reported here.