How much does it cost to form an LLC in Hawaii in 2026?

The day-one cost to file Articles of Organization is $51, which breaks down as a $50 statutory filing fee plus a $1 state archives preservation fee. Plan for another $50 to $125 per year for a commercial registered agent with a Hawaii street address. Optional expedited review is $25 additional and brings online turnaround to 1 to 3 business days.

Does Hawaii have an annual report for LLCs?

Yes. Hawaii LLCs file an annual report during the calendar quarter of the LLC's registration anniversary: Q1 formations by March 31, Q2 by June 30, Q3 by September 30, Q4 by December 31. The fee is $15, which is the lowest annual report fee in the United States. A $10 late fee applies per year delinquent, and sustained nonfiling leads to administrative termination under HRS Section 428-210.

Do Hawaii LLCs pay state income tax?

Default pass-through LLCs owe no entity-level Hawaii income tax. Members report distributive shares on their Hawaii personal income tax return, where rates are graduated up to 11 percent on top-bracket income. An LLC that elects C-corp treatment pays Hawaii corporate income tax at graduated rates up to 6.4% on Hawaii taxable income. Federal tax applies on top of either path.

Is the Hawaii General Excise Tax the same as sales tax?

No, and the distinction matters. Sales tax is paid by the customer and collected by the business as a statutory agent. GET is paid by the business on its gross income, regardless of whether it was passed through to customers. A sales tax only applies to retail transactions; GET applies to services, wholesale, manufacturing, and almost every other revenue category. The effect on a customer's receipt looks similar; the effect on the LLC's books is different.

How long does it take to form a Hawaii LLC?

Standard online filings through the BREG portal typically clear in 5 business days. Mail filings take around 14 business days. Expedited review is available for an additional $25 and brings turnaround to 1 to 3 business days. The BREG portal is being replaced in April 2026, so check the BREG division page for the current online filing entry point.

Should I form my LLC in Hawaii instead of my home state?

Only if you live or operate in Hawaii. The low $51 formation and $15 annual report look attractive from the mainland, but GET applies to any Hawaii business activity and the pass-through personal income tax runs up to 11 percent on top-bracket income. Non-resident founders should form in their home state or in Wyoming; Hawaii is a home-state pick, not a formation-arbitrage pick.

Does Hawaii require an operating agreement?

No. HRS Section 428-103 permits an operating agreement but does not require one to be filed or even written. Oral, written, or implied agreements are all recognized under the Hawaii Uniform Limited Liability Company Act. A written agreement is still strongly advised for any multi-member LLC and for preserving the liability shield in a contested matter.

Hawaii LLC: fees, filing steps, and 2026 costs

$51 Filing fee Online filing available

$166 Year 1 estimate Filing + first year tax + RA

5 days (expedited 72h) Approval Mail ~14d

$15 annual report Ongoing

Where Hawaii fits, and where it doesn't

Good fit for Hawaii

You live in Hawaii and operate your business from Honolulu, Hilo, Kailua-Kona, Maui, or Kauai. Local services, retail, tourism, construction, or a professional practice with Hawaii customers. You own Hawaii real estate and want a Hawaii entity to hold it. You are prepared to register for GET, set up monthly, quarterly, or semi-annual filings with the Department of Taxation, and price the tax into your revenue from day one.

Skip Hawaii when

You are a non-resident founder who spotted Hawaii's $51 formation fee and $15 annual report and thought you found the cheapest state in the union. On paper, you did. In practice, any Hawaii business activity triggers GET, and GET is a gross-receipts tax on revenue rather than profit. For an online business with no Hawaii customers, forming here adds compliance overhead without a Hawaii nexus worth having. Go to Wyoming. You want to foreign-qualify a Hawaii LLC into a mainland state to save money. The Hawaii LLC still needs its Hawaii filings, the mainland state still needs its own, and you are now running two sets of paperwork for zero saving.

What a Hawaii LLC actually costs

Formation filing fee Paid once at formation $51
Commercial registered agent Annual, estimate $100
Annual report fee Annual $15
Year 1 total estimate Formation plus first-year ongoing $166

Registered agent estimate uses a $100 midpoint. Specialist agents start around $50 per year. Full-service formation companies bundle RA for $125 to $200.

Cost across the first three years

Year 1 $166

Year 2 $115

Year 3 $115

How Hawaii compares on the basics

Online filing File through state portal

Yes

Expedited processing $25 for 72h

Yes

Annual report required Separate report on top of tax

Yes

State-imposed annual tax None beyond income tax

Written operating agreement required Recommended, not statutorily required

Recommended

Newspaper publication requirement Not required in this state

State sales tax No general state sales tax

None

How to apply for an LLC in Hawaii

Pick a compliant LLC name
The name must end in "Limited Liability Company," "LLC," or an approved abbreviation, and must be distinguishable from every other entity on the Hawaii Secretary of State record. Check availability at the Hawaii entity search.
Designate a registered agent
Every Hawaii LLC is required to have a registered agent with a physical street address in Hawaii. You can serve as your own agent if you live in Hawaii, or hire a commercial service for $99 to $249/yr. See the Hawaii registered agent guide.
File Articles of Organization for Limited Liability Company (Form LLC-1)
Filing fee is $51. Online filing is available through the state portal. Mail filings are accepted. Paid expedite is available for $25.
Apply for a federal EIN
Free directly from the IRS in about 15 minutes (see the EIN guide). Required for opening a business bank account, hiring employees, and most formation-service tax workflows.
Adopt an operating agreement
Hawaii does not require an operating agreement by statute, but adopting one is strongly recommended to preserve the liability shield. See the operating agreement pillar for the 12 clauses every agreement should include.

Filing walkthrough

You file Articles of Organization (form LLC-1) through the Hawaii Business Registration Division (BREG) at cca.hawaii.gov/breg. The filing fee is $50 under the statute, plus a $1 state archives preservation fee required by HRS Section 94-8, for a $51 day-one total. Standard online filings typically clear in 5 business days; mail filings take around 14 business days. Expedited review is available for an extra $25, bringing online turnaround to 1 to 3 business days.

The portal situation is in flux. The legacy Hawaii Business Express (HBE) system at hbe.ehawaii.gov has been retired, and the BREG portal is being replaced in April 2026 with a new system accessed through the BREG division page. Whichever URL is live when you file, the underlying form (LLC-1) and fees ($51 day one, $15 annually) are the same. Every Hawaii LLC needs a registered agent with a Hawaii street address; you can serve as your own if you live here, or use a commercial agent for the usual $50 to $125 per year.

Check name availability File online Hawaii formation guidance

How Hawaii taxes an LLC

Hawaii has no retail sales tax, which sounds great until you meet the General Excise Tax. GET is a gross-receipts tax assessed on the business, not the consumer, at 4 percent state plus a county surcharge of 0.5 percent in Honolulu, Kauai, Hawaii County, and Maui counties (so 4 to 4.5 percent total depending on where you transact). Businesses may pass GET through to customers, capped at 4.4386 to 4.7120 percent depending on county, but the statutory obligation sits on the LLC. Every dollar of Hawaii revenue carries GET, profit or loss.

LLCs default to federal pass-through treatment, and Hawaii follows. Pass-through LLCs owe no entity-level franchise or privilege tax; members report distributive shares on their Hawaii personal income tax return at rates up to 11 percent, among the highest brackets in the country. An LLC that elects C-corp treatment pays Hawaii corporate income tax at graduated rates up to 6.4% on Hawaii taxable income.

Between GET on gross receipts and personal income tax up to 11 percent on net distributions, Hawaii is a high-tax environment for profitable in-state businesses. The state constitution and legislative history explain the structure; the GET funds services that a no-sales-tax state still needs to pay for. That does not make it easier on the monthly filing.

Ongoing compliance and costs after year one

Budget $15 per year for the BREG annual report and $50 to $125 for a registered agent. That is the Secretary-of-State side of the compliance picture, and it genuinely is the cheapest ongoing state filing in the country. The Department of Taxation side is separate. GET registration is a one-time $20 fee, and returns are filed monthly, quarterly, or semi-annually depending on revenue, with an annual reconciliation on top. Most small Hawaii LLCs file quarterly.

Hawaii's annual report is due during the calendar quarter of the LLC's registration anniversary, not on a fixed date. Q1 formations file by March 31, Q2 by June 30, Q3 by September 30, Q4 by December 31. A $10 late fee applies per year delinquent, and persistent nonfiling triggers administrative termination. If you foreign-qualify back home because you actually live somewhere else, add that state's registration and annual report on top.

Common mistakes forming a Hawaii LLC

Two patterns come up. First, founders read 'no sales tax' on a Hawaii fact sheet and assume that means no transaction-level business tax at all. GET is the tax that sits in that slot, and it applies at dollar one of Hawaii-sourced revenue. Register with the Department of Taxation on day one and price GET into your margins. Second, filers miss the annual report window because the deadline is tied to the formation quarter, not a calendar date. If you formed in February, your renewal is March 31 forever; if you formed in October, it is December 31. Put the correct quarter-end date on the calendar when you form and you will not drift.

State agencies that handle Hawaii LLCs

Hawaii Department of Commerce and Consumer Affairs - Business Registration Division

Website: cca.hawaii.gov/breg
Phone: (808) 586-2727
Email: breg@dcca.hawaii.gov
Mail: Business Registration Division, Department of Commerce and Consumer Affairs, P.O. Box 40, Honolulu, HI 96810
Office: 335 Merchant Street, Room 201, Honolulu, HI 96813
Hours: 7:45 AM to 4:30 PM Hawaii-Aleutian Standard Time, Monday to Friday

Hawaii Department of Taxation

Website: tax.hawaii.gov
Phone: (808) 587-4242
Mail: Department of Taxation, P.O. Box 259, Honolulu, HI 96809-0259
Office: 830 Punchbowl Street, Honolulu, HI 96813-5094
Hours: 7:45 AM to 4:00 PM Hawaii-Aleutian Standard Time, Monday to Friday

Frequently Asked Questions

How much does it cost to form an LLC in Hawaii in 2026?

The day-one cost to file Articles of Organization is $51, which breaks down as a $50 statutory filing fee plus a $1 state archives preservation fee. Plan for another $50 to $125 per year for a commercial registered agent with a Hawaii street address. Optional expedited review is $25 additional and brings online turnaround to 1 to 3 business days.
Does Hawaii have an annual report for LLCs?

Yes. Hawaii LLCs file an annual report during the calendar quarter of the LLC's registration anniversary: Q1 formations by March 31, Q2 by June 30, Q3 by September 30, Q4 by December 31. The fee is $15, which is the lowest annual report fee in the United States. A $10 late fee applies per year delinquent, and sustained nonfiling leads to administrative termination under HRS Section 428-210.
Do Hawaii LLCs pay state income tax?

Default pass-through LLCs owe no entity-level Hawaii income tax. Members report distributive shares on their Hawaii personal income tax return, where rates are graduated up to 11 percent on top-bracket income. An LLC that elects C-corp treatment pays Hawaii corporate income tax at graduated rates up to 6.4% on Hawaii taxable income. Federal tax applies on top of either path.
What is the Hawaii General Excise Tax and will my LLC owe it?

GET is a gross-receipts tax collected by the Department of Taxation on nearly every business activity in Hawaii. The rate is 4 percent state plus a 0.5 percent county surcharge in Honolulu, Kauai, Hawaii County, and Maui counties (so 4 to 4.5 percent total). It is assessed on the business, not the consumer, and it applies to revenue before expenses. Any LLC doing business in Hawaii registers for GET, so treat it as a when-not-if question.
Is the Hawaii General Excise Tax the same as sales tax?

No, and the distinction matters. Sales tax is paid by the customer and collected by the business as a statutory agent. GET is paid by the business on its gross income, regardless of whether it was passed through to customers. A sales tax only applies to retail transactions; GET applies to services, wholesale, manufacturing, and almost every other revenue category. The effect on a customer's receipt looks similar; the effect on the LLC's books is different.
How long does it take to form a Hawaii LLC?

Standard online filings through the BREG portal typically clear in 5 business days. Mail filings take around 14 business days. Expedited review is available for an additional $25 and brings turnaround to 1 to 3 business days. The BREG portal is being replaced in April 2026, so check the BREG division page for the current online filing entry point.
Should I form my LLC in Hawaii instead of my home state?

Only if you live or operate in Hawaii. The low $51 formation and $15 annual report look attractive from the mainland, but GET applies to any Hawaii business activity and the pass-through personal income tax runs up to 11 percent on top-bracket income. Non-resident founders should form in their home state or in Wyoming; Hawaii is a home-state pick, not a formation-arbitrage pick.
Does Hawaii require an operating agreement?

No. HRS Section 428-103 permits an operating agreement but does not require one to be filed or even written. Oral, written, or implied agreements are all recognized under the Hawaii Uniform Limited Liability Company Act. A written agreement is still strongly advised for any multi-member LLC and for preserving the liability shield in a contested matter.
How do I apply for an LLC in Hawaii?

Apply for an LLC in Hawaii by filing Articles of Organization for Limited Liability Company (Form LLC-1) with Hawaii Department of Commerce and Consumer Affairs - Business Registration Division. The filing fee is $51. Online filing is available through the state portal. Approval typically takes 5 business days online. Mail filings take about 14 business days. Before filing, pick a registered agent (see the Hawaii registered agent guide) and confirm your business name is available using the state's entity search.

Compare Hawaii to another state

Side-by-side breakdowns of fees, taxes, approval time, and compliance. Every other US jurisdiction has a dedicated compare page against Hawaii.

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C

D

F

Hawaii vs Florida

G

Hawaii vs Georgia

I

K

L

Hawaii vs Louisiana

M

N

O

P

Hawaii vs Pennsylvania

R

Hawaii vs Rhode Island

S

T

U

Hawaii vs Utah

V

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Sources

Online filing portal: cca.hawaii.gov/breg/ · verified April 21, 2026
Hawaii BREG is launching a replacement business registration portal on April 27, 2026 (the legacy hbe.ehawaii.gov system went offline April 20). The new portal URL is not yet published. Until we can confirm the new direct URL, we point filers at the BREG division homepage, which lists the live online filing entry point. Re-verify once the new portal URL is announced.
Business name search: cca.hawaii.gov/business-check/ · verified April 21, 2026
DCCA Business Check is Hawaii's current live business-name search surface and remains the right entry point regardless of the BREG portal migration.
Filing fee: cca.hawaii.gov/wp-content/uploads/2025/12/Form-Fee-Schedule-12-2022.pd… · verified April 21, 2026
Hawaii DCCA Business Registration Division Form Fee Schedule (Rev. 12/2022): Limited Liability Company Articles of Organization filing fee = $50.00. A $1.00 State Archives preservation fee (HRS Section 94-8) is also imposed on permanent documents collected by BREG, bringing the day-one total to $51.00.
Expedited filing: cca.hawaii.gov/wp-content/uploads/2025/12/Form-Fee-Schedule-12-2022.pd… · verified April 21, 2026
Hawaii DCCA Form Fee Schedule: Expedited Review Fee = $25.00 (additional) for most LLC filings including Articles of Organization. Expedited online filings are typically processed in 1 to 3 business days per BREG guidance.
Foreign LLC registration fee: cca.hawaii.gov/wp-content/uploads/2025/12/Form-Fee-Schedule-12-2022.pd… · verified April 21, 2026
Foreign LLC Application for Certificate of Authority filing fee = $50.00 plus $1.00 State Archives preservation fee = $51.00 day-one cost.
Operating agreement requirement: law.justia.com/codes/hawaii/title-23a/chapter-428/section-428-103/ · verified April 21, 2026
HRS Section 428-103 (Effect of operating agreement; nonwaivable provisions) permits but does not require an operating agreement. Hawaii Uniform Limited Liability Company Act does not require a written operating agreement.
Publication requirement: cca.hawaii.gov/breg/registration/dllc/ · verified April 21, 2026
Hawaii BREG LLC registration page and HRS Chapter 428 contain no publication requirement for LLCs.
Annual report fee: cca.hawaii.gov/wp-content/uploads/2025/12/Form-Fee-Schedule-12-2022.pd… · verified April 21, 2026
Annual Report (Domestic/Foreign) LLC filing fee = $15.00 per Hawaii DCCA Form Fee Schedule. Due during the calendar quarter containing the LLC's registration anniversary per HRS Section 428-210. Late fee $10 per year. Authority confirmed via HRS Section 428-210.
Franchise tax: tax.hawaii.gov/geninfo/get/ · verified April 21, 2026
Hawaii Department of Taxation: no franchise tax on LLCs. The General Excise Tax (GET) is a gross receipts tax, not a franchise tax. LLCs owe GET on business activity, not a separate entity-level franchise or privilege tax.
Corporate income tax rate: taxfoundation.org/location/hawaii/ · verified April 21, 2026
Hawaii corporate income tax: 4.4% on income up to $25,000, 5.4% on $25,001 to $100,000, 6.4% on income above $100,000. Record top marginal rate 6.4% as the income-only max. LLCs that default to pass-through do not owe this tax.
Sales tax rate: tax.hawaii.gov/geninfo/get/ · verified April 21, 2026
Hawaii has no retail sales tax. The General Excise Tax (GET) at 4% state plus 0.5% county surcharge is a gross receipts tax on the business. Recorded salesTaxRate as 0 per schema convention (statewide retail sales rate). GET nuance captured in taxes.notes.
Business name search: hbe.ehawaii.gov/documents/search.html · verified April 21, 2026
Hawaii Business Express (HBE) document and entity search. Confirm name availability before filing. Note: HBE is being replaced by a new BREG portal on April 27, 2026; URLs may update.
Certificate of Formation form: files.hawaii.gov/dcca/breg/registration/forms/llc-1.pdf · verified April 21, 2026
Official Form LLC-1 Articles of Organization for Hawaii LLC, published by DCCA Business Registration Division. Can be filed online via HBE, by mail, fax, email, or in person.

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