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South Dakota · SD

South Dakota LLC Formation Cost 2026

Filing fee $150 · Annual $50 · Privacy 8/10 · Banking 8/10

The numbers

Initial state filing fee$150
Annual report (annual)$50
Franchise / privilege taxNone
State personal income tax (top)0%
State corporate income tax (top)None
Publication required?No
Standard processing time5 business days
Privacy score8/10
Banking accessibility8/10
5-year total cost$650

Why people choose South Dakota

  • No state income tax
  • Famous trust jurisdiction

Trade-offs to know

  • Standard filing fee

Who South Dakota is best for

  • Trust/holding structures

Excellent for dynasty trusts and asset protection.

Authoritative sources

South Dakota vs the alternatives

StateFilingRecurringState taxPrivacy
South Dakota$150$50/yr0%8/10
Wyoming$100$62/yr0%9/10
Delaware$110$300/yr6.6%7/10

How to form an LLC in South Dakota (general steps)

  1. Choose a unique name ending in "LLC" or "Limited Liability Company". Check name availability with the South Dakota Secretary of State.
  2. Appoint a registered agent with a physical South Dakota address.
  3. File Articles of Organization ($150) with the South Dakota Secretary of State.
  4. Draft an Operating Agreement — most states do not require filing but strongly recommend having one.
  5. Obtain an EIN from the IRS (free online with SSN/ITIN).
  6. File the FinCEN BOI report within 90 days of formation (federal requirement).
  7. File the annual report ($50) by the deadline to keep the LLC in good standing.

Other commonly compared states

Frequently asked questions

How much does it cost to form an LLC in South Dakota?

The state filing fee is $150. An annual report costs $50. Plus a registered agent (typically $25-$150/year).

Does South Dakota have a state income tax on LLCs?

South Dakota has no state personal income tax. Pass-through LLC owners avoid state-level income tax on profits — but you still pay tax in your state of residence.

What is the annual cost of maintaining a South Dakota LLC?

Excluding the first-year filing fee, the recurring cost is $100 (annual report + franchise minimum + $50 registered agent baseline). Five-year total ≈ $650.

Can a non-resident form an LLC in South Dakota?

Yes. Non-US residents can form an LLC in any state. However, banking, payment processing, and EIN acquisition vary in difficulty. South Dakota has strong banking accessibility (8/10). See our non-resident guide for the full process.

Is South Dakota a good state for an anonymous LLC?

Yes — South Dakota has a privacy score of 8/10. Member and manager names are not required on public filings.

Deep-dive South Dakota guides

Interactive cost calculator for South Dakota

LLC Cost Calculator

Estimate the real cost of forming and maintaining an LLC across 51 US jurisdictions. Includes state filing, registered agent, annual report, franchise tax, and (where applicable) publication.

Year 1 breakdown — South Dakota

State filing fee $150
Registered agent (yr 1) $50
Annual report fee $50
Franchise / privilege tax (minimum) $0
Year 1 total$250
Recurring (yr 2+)$100/yr
5-year total cost$650

Avg. $130 / year — compares to 5-yr baseline $650.

What this calculator does NOT include
  • Federal BOI report (free, but mandatory)
  • EIN application (free with SSN/ITIN; some services charge $50-$300)
  • Operating Agreement drafting
  • State-level business licenses (industry-specific)
  • Local city/county fees (varies by municipality)
  • Foreign LLC registration if operating outside formation state
  • Federal and state income tax on profits

Educational estimate only. Not legal or tax advice. Verify with a licensed CPA or attorney before filing.