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Tennessee · TN

Tennessee LLC Formation Cost 2026

Filing fee $300 · Annual $300 · Privacy 5/10 · Banking 8/10

The numbers

Initial state filing fee$300
Annual report (annual)$300
Franchise / privilege taxFranchise & Excise tax min $100
State personal income tax (top)0%
State corporate income tax (top)6.5%
Publication required?No
Standard processing time5 business days
Privacy score5/10
Banking accessibility8/10
5-year total cost$2,550

Why people choose Tennessee

  • No personal income tax

Trade-offs to know

  • High formation fee ($50/member, min $300)
  • F&E tax applies to LLCs

Who Tennessee is best for

  • Nashville businesses

Franchise & Excise tax applies to LLCs unless single-member disregarded.

Authoritative sources

Tennessee vs the alternatives

StateFilingRecurringState taxPrivacy
Tennessee$300$400/yr0%5/10
Wyoming$100$62/yr0%9/10
Delaware$110$300/yr6.6%7/10

How to form an LLC in Tennessee (general steps)

  1. Choose a unique name ending in "LLC" or "Limited Liability Company". Check name availability with the Tennessee Secretary of State.
  2. Appoint a registered agent with a physical Tennessee address.
  3. File Articles of Organization ($300) with the Tennessee 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 ($300) 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 Tennessee?

The state filing fee is $300. An annual report costs $300. A minimum franchise/privilege tax of $100 applies. Plus a registered agent (typically $25-$150/year).

Does Tennessee have a state income tax on LLCs?

Tennessee 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 Tennessee LLC?

Excluding the first-year filing fee, the recurring cost is $450 (annual report + franchise minimum + $50 registered agent baseline). Five-year total ≈ $2,550.

Can a non-resident form an LLC in Tennessee?

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

Is Tennessee a good state for an anonymous LLC?

Tennessee's privacy score is 5/10. Some member or manager information appears on public filings. For maximum privacy, Wyoming, New Mexico, and Nevada are common choices.

Deep-dive Tennessee guides

Interactive cost calculator for Tennessee

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 — Tennessee

State filing fee $300
Registered agent (yr 1) $50
Annual report fee $300
Franchise / privilege tax (minimum) $100
Year 1 total$750
Recurring (yr 2+)$450/yr
5-year total cost$2,550

Avg. $510 / year — compares to 5-yr baseline $2,550.

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.