Pennsylvania LLC 2026

$125 to form your Pennsylvania LLC

$125 state filing fee · $7decennial report. 5-year cost of ownership: $153.

By Aissam Baidi · Reviewed against www.dos.pa.gov · Verified 2026-06-01

How much does a Pennsylvania LLC cost in 2026? A Pennsylvania LLC costs $125 in year one ($125 filing fee for the Certificate of Organization). Ongoing cost is $7/year ($7 decennial report). Five-year total: $153. Standard processing takes about 7 business days; expedite for $100 extra. At $125, Pennsylvania runs $30 below the US median of $155 for year-one LLC costs, making it one of the cheaper states to form in. Pennsylvania sits in the mid-range for LLC formation costs, competitive enough for in-state operators with no major surprise fees beyond what's listed here. Sourced from www.dos.pa.gov, verified 2026-06-01.

Filing fee $125 Certificate of Organization
Annual / recurring $7 decennial report
Processing 7 days expedite +$100
5-year total $153

Pennsylvania at a glance

2025 business formations 148,152 total entity filings, all types
Current processing window 1-3 business days online; up to 15 days by paper verified 2026-06-01 from www.pa.gov
Top sectors for new Pennsylvania businesses
  1. #1Health Care & Social Assistance
  2. #2Professional, Scientific & Technical Services
  3. #3Retail Trade
SBA Office of Advocacy 2024-2025 State Profile

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LLC Cost Calculator

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The U.S. state where you'll file LLC paperwork. Foreign qualification fees apply if you operate elsewhere.

State filing fee is the same for any member count; member count drives IRS tax classification (single-member = disregarded; multi-member = partnership).

Operating agreement

Not legal advice. Estimates based on publicly available data from each state's Secretary of State office. Consult a licensed attorney in your jurisdiction.

Pennsylvania vs the rest of the US

Year-1 LLC cost in Pennsylvania is $125. That's $90 more than the cheapest state (Montana). Form there if you can register your business out-of-state.

Pennsylvania You are here Your state
$125
New York Peer state
$200
Delaware Peer state
$390
Ohio Peer state
$99
Montana Cheapest in US
$35
Massachusetts Most expensive
$1,000

All figures are year-1 LLC formation cost (state filing fee + first-year report fee + first-year franchise tax). Sourced quarterly from each state's Secretary of State office.

5-year cumulative cost projection

How Pennsylvania's LLC cost compares against the popular "shop another state" alternatives over 5 years of ownership. Steeper line = higher recurring cost.

$0 $500 $1,000 $1,500 $2,000 Year 1Year 2Year 3Year 4Year 5 Pennsylvania Delaware Wyoming New Mexico
After 5 years of ownership, Pennsylvania totals $153. Delaware: $1,590 (+$1,437). Wyoming: $400 (+$247). New Mexico: $50 (save $103).

All 50 states + DC, by 5-year LLC cost

Heat-map of 5-year ownership cost across the US. Click any state to see its full breakdown. Cheapest in green, most expensive in dark red.

  • Cheapest 20%
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  • Most expensive 20%

5-year cost = year-1 (state filing + first-year report + first-year franchise tax) + 4 years of ongoing (annual/biennial report + franchise tax). Sourced quarterly from each Secretary of State.

Where would you save the most?

Filing in Montana instead of Pennsylvania could save you about $118 over 5 years (77% lower total).

Cross-state filing requires foreign qualification in the state you actually operate from, which adds $50-$300/year in fees plus a registered agent in each jurisdiction. Run the math before deciding.

AI Insights

Pennsylvania LLC formation, decoded

Cost dynamics

Pennsylvania requires a $7 annual report to keep the LLC in good standing. Filing on time avoids late penalties and administrative dissolution.

Insights compiled from primary government sources (Secretary of State, IRS, Census BFS) and verified by Gemini 2.5 with Google Search grounding. Last refreshed 2026-06-01.
Full Pennsylvania LLC cost guide

Pennsylvania LLC Cost: $125 Filing + Decennial Report (2026)

Forming an LLC in Pennsylvania costs $125 to file the Certificate of Organization. Pennsylvania is the only state with a decennial report, $70 every 10 years (years ending in 1: 2031, 2041). No annual report. The Capital Stock Tax / Foreign Franchise Tax was phased out in 2016. Five-year average cost: $160. Watch for Philadelphia’s BIRT (Business Income & Receipts Tax) and other municipal-level taxes, they meaningfully change the math for Philly-based LLCs.

Reviewed by LLC Formation Cost Editorial Team, fact-checked against primary government sources • Last updated 2026-06-01 • 5 primary government sources cited

TL;DR

Pennsylvania LLCs file a Certificate of Organization with the Pennsylvania Department of State for $125. There is no annual report, instead, PA uses a unique decennial report cycle: every 10 years (years ending in 1, so next due 2031), each LLC files a $70 report to confirm it’s still active. PA’s Capital Stock Tax and Foreign Franchise Tax for LLCs were phased out by 2016. State personal income tax is 3.07% flat (2026). Philadelphia and several other municipalities impose local business privilege taxes on top of state-level, a $400K Philly LLC owes BIRT at 1.415% gross + 5.81% net income, dwarfing the $125 state filing fee.

Pennsylvania LLC cost breakdown (2026)

Line itemCostSource
Certificate of Organization$125dos.pa.gov
Decennial Report (every 10 years, years ending in 1)$70dos.pa.gov
Annual Report$0 (not required)dos.pa.gov
Capital Stock / Foreign Franchise Tax$0 (phased out 2016)revenue.pa.gov
Philadelphia BIRT (Philly-only)1.415% gross + 5.81% netphila.gov/revenue
Expedite filing (3-hour)+$1,000dos.pa.gov
Expedite filing (next-day)+$300dos.pa.gov
Expedite filing (same-day)+$100dos.pa.gov
Year 1 total (no add-ons)$125
Annualized ongoing average$7($70 / 10)
5-year total$160(filing + 5 yrs of decennial amortization)

All figures verified 2026-06-01 from primary Pennsylvania state sources.

Why Pennsylvania’s decennial cycle is unique

Pennsylvania is the only state with a 10-year reporting cycle. Most states require annual or biennial reports; PA’s once-per-decade cycle is a holdover from the original Pennsylvania Business Corporation Law and predates most modern reporting requirements.

The decennial fires in years ending in 1: 2021, 2031, 2041. An LLC formed today (2026) won’t file its first decennial until 2031. The fee is $70.

The trade-off: there’s no recurring oversight from the state. An LLC could be administratively dissolved if the decennial is missed by 2 years (years 11-12 after a missed report), but the warning system is far more lax than annual-report states. PA founders who form, register, then forget the LLC entirely often don’t trigger any state-level consequence for years.

Filing steps (DIY, no service)

  1. Pick a name, search availability via the Pennsylvania Business Filing Services portal. Names must include “Company,” “Limited,” or an LLC designator like “LLC” or “L.L.C.”
  2. Designate a registered office (PA’s term, functionally a registered agent), must have a Pennsylvania street address.
  3. File Certificate of Organization, $125 fee. File online via Business Filing Services or by mail to PA Department of State, Bureau of Corporations and Charitable Organizations, PO Box 8722, Harrisburg, PA 17105.
  4. Publish notice, PA requires LLCs to advertise the formation in 2 newspapers in the formation county (one for general circulation, one legal). Cost: $50-$200 depending on county. Note: this is not the same as the NY publication requirement and is much cheaper.
  5. Get a federal EIN, free at irs.gov.
  6. Draft an operating agreement, not required by Pennsylvania law but recommended.
  7. Register with PA Department of Revenue, sales tax permit (free) if selling tangible goods, employer withholding if hiring.
  8. If in Philadelphia, register for BIRT, City Wage Tax, and other Philly-specific filings. Significantly increases compliance load.
  9. File FinCEN BOI report, within 30 days of formation. Free at fincen.gov/boi.
  10. Calendar the decennial, next decennial fires in 2031 for any LLC formed before then.

Standard online filings via the Business Filing Services portal are processed within 7-10 business days. Expedite is exceptionally expensive: $1,000 for 3-hour, $300 next-day, $100 same-day (filed by 10am).

Page-unique facts

  • Pennsylvania’s decennial cycle is unique in the US. No other state has a 10-year reporting requirement.
  • Pennsylvania has a publication requirement but it’s modest ($50-$200) compared to NY’s $1,500+. Often overlooked because it’s enforced inconsistently.
  • The Capital Stock Tax was fully phased out by 2016. Pre-2016, PA imposed a sliding tax on corporate net worth (up to $300,000+/yr). LLCs filing as partnerships were always exempt; corporations and corporate-electing LLCs had decades of CST exposure.
  • Philadelphia’s BIRT tax dramatically changes the math. A $400K-revenue Philly LLC owes 1.415% × $400K + 5.81% × net income. Easily $5,000-$15,000/yr in BIRT alone, dwarfing the $125 state filing.
  • PA personal income tax is a flat 3.07%, among the lowest flat rates in the country.

FAQ

What is Pennsylvania’s Decennial Report?

PA requires LLCs to file a single report every 10 years (years ending in 1) to confirm the LLC is still active. Cost: $70. Pennsylvania is unique in this, most states require annual or biennial reports. The next decennial fires in 2031. An LLC formed in 2026 has zero state SOS filing requirements between 2026 and 2031. Source: dos.pa.gov, verified 2026-06-01.

Does Pennsylvania still have a Capital Stock Tax?

No. PA’s Capital Stock Tax / Foreign Franchise Tax was phased out by 2016. LLCs filing as partnerships were always exempt; corporations and corporate-electing LLCs had decades of CST exposure pre-2016. Today, LLCs in Pennsylvania pay only the $125 formation fee + $70 once-per-decade decennial. Source: revenue.pa.gov.

Are there local taxes for PA LLCs?

Yes, significantly. Philadelphia BIRT (Business Income & Receipts Tax) at 1.415% gross receipts + 5.81% net income. Pittsburgh has the Local Services Tax. Many smaller municipalities impose business privilege taxes (typically 0.5-1.0% of gross receipts). Verify with your locality’s revenue office. Source: phila.gov/revenue.

Does Pennsylvania require LLC publication?

Yes, but it’s modest compared to NY’s. PA requires LLCs to advertise formation in 2 newspapers in the formation county (one general circulation, one legal). Cost: $50-$200 depending on county. The requirement is in the PA LLC statute but enforcement has been historically inconsistent. Many founders skip it without consequence; doing so is technically a compliance miss. Source: dos.pa.gov.

When is my Pennsylvania LLC’s first decennial report actually due?

Pennsylvania’s decennial cycle fires in years ending in 1, so 2031, 2041, 2051. An LLC formed in 2026 has zero state SOS filings between formation and 2031 (a five-year gap). The decennial fee is $70, filed via the Pennsylvania Business Filing Services portal. Critically, Pennsylvania does NOT send reminder mail for the decennial; the burden is entirely on the LLC to remember a once-per-decade deadline that arrives every year ending in 1. LLCs that miss a decennial enter “delinquent” status and may be administratively dissolved after a 60-day grace period, requiring reinstatement filing plus all back-due decennials. The SBA local assistance directory lists Pennsylvania SBDC offices that maintain decennial reminder services.

How does Philadelphia’s BIRT actually work for a small Philly LLC?

Philadelphia’s Business Income & Receipts Tax (BIRT) is a two-part city tax that applies to any LLC operating in Philadelphia: 1.415% on gross receipts (the receipts portion) PLUS 5.81% on net income (the income portion), with the receipts portion phased in based on a Philadelphia activity factor. A Philadelphia-based service LLC with $400,000 gross receipts and $80,000 net profit owes roughly $5,660 (1.415% × $400K) + $4,648 (5.81% × $80K) = $10,308/year in BIRT alone, dwarfing the $125 PA state filing fee. Philly also imposes a separate Net Profits Tax on owners. The IRS allows BIRT as a federal SALT deduction. See IRS Pennsylvania Small Business Resources and IRS Publication 3402.

State quirk: the once-per-decade decennial cycle

Pennsylvania is the only US state with a decennial reporting requirement, every LLC files a $70 report once every ten years (years ending in 1: 2021, 2031, 2041), confirming the entity is still active. The cycle is a holdover from the original Pennsylvania Business Corporation Law (1933) and predates most modern annual-report regimes. PA also phased out the Capital Stock Tax / Foreign Franchise Tax in 2016 after a decade-long sunset, eliminating what had been one of the most punishing state-level entity taxes in the country. The trade-off Pennsylvania residents accept is a robust set of municipal-level taxes: Philadelphia BIRT (1.415% gross + 5.81% net), Pittsburgh’s Local Services Tax, and dozens of smaller township business privilege taxes. The decennial is unusually easy to forget because the state sends no reminder, many LLCs miss the 2031 firing entirely.

Common mistake in Pennsylvania

The most common Pennsylvania LLC mistake is operating in Philadelphia without registering for Business Income & Receipts Tax (BIRT) at the city level. Founders pay the $125 PA state filing, file the decennial in 2031, and assume they’re compliant, then discover at tax time that Philadelphia has been accruing BIRT plus penalties on every dollar of Philly-source revenue since formation. Reinstatement BIRT plus interest can run thousands.

Sources

  1. Pennsylvania Department of State Business Charities, last verified 2026-06-01
  2. Pennsylvania Business Filing Services, last verified 2026-06-01
  3. Pennsylvania Department of Revenue, last verified 2026-06-01
  4. Philadelphia Department of Revenue (BIRT), last verified 2026-06-01
  5. Pennsylvania LLC Act (15 Pa.C.S. § 8810), last verified 2026-06-01
  6. IRS Pennsylvania Small Business and Self-Employed Resources, last verified 2026-06-01
  7. SBA Local Assistance Directory (Pennsylvania SBDCs), last verified 2026-06-01

About the author

Aissam Baidi is the founder and researcher behind llcformationcost.com. He verifies Pennsylvania LLC fees directly from dos.pa.gov on a quarterly cycle. Connect on LinkedIn.


Not legal advice. Estimates based on publicly available data from each state’s Secretary of State office. Consult a licensed attorney in your jurisdiction.

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AI Q&A

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Pre-answered for the questions founders ask first. Tap one to read the full answer, or write your own.

What's the actual filing fee in Pennsylvania?

Pennsylvania charges $125 to file the Certificate of Organization with www.dos.pa.gov. Expedited service is available for an additional $100, reducing turnaround to about 2 business days vs. the standard ~7.

Does Pennsylvania have a franchise tax?

No. Pennsylvania does not impose a flat franchise tax on LLCs. Some pass-through entity income may still be taxed at the member level under state income tax rules.

What's the annual report situation in Pennsylvania?

Pennsylvania requires a decennial report at $7. Note: the first-year report is billed separately at $0.

Do I need a registered agent in Pennsylvania?

Yes. Every Pennsylvania LLC must designate a registered agent with a physical Pennsylvania street address (no P.O. boxes), available during business hours to accept legal mail. You can serve as your own agent for free if you live in Pennsylvania, but most founders use a commercial service ($100-150/year) to keep their home address off the public record.

Should I form my LLC in Pennsylvania?

Form in Pennsylvania if you operate primarily in Pennsylvania. Out-of-state formation (Delaware, Wyoming, etc.) requires foreign-LLC qualification in your home state, doubling fees. The exception is highly venture-funded startups raising priced rounds, where Delaware is investor-expected.

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Pennsylvania-specific Operating Agreement preview

Five substantive sections with Pennsylvania-specific clauses (filing form, franchise tax, publication requirements, governing law). Use as a starting point with your attorney, or upgrade for the full 12-section document.

OPERATING AGREEMENT OF [COMPANY NAME], LLC

A Pennsylvania Limited Liability Company
Generated 2026-06-01 • State-specific template

Article I. Formation

This Operating Agreement is entered into as of [date], by and among the undersigned members of [Company Name], a Limited Liability Company organized under the Pennsylvania Limited Liability Company Act. The Company was formed by filing the Certificate of Organization with the Pennsylvania Secretary of State on [filing date]. The Company's principal office is located at [address], Pennsylvania.

Article II. Members & Membership Interests

The members of the Company are listed on Exhibit A. Each member's capital contribution and percentage interest are set forth therein. Members may be admitted only by [unanimous / majority] consent of existing members. Pennsylvania law does not mandate a written operating agreement, but the parties agree that this writing governs.

Article III. Management

The Company shall be [member-managed / manager-managed]. Pennsylvania default rules apply to any matter not addressed here. The Company shall timely file the decennial report ($7) with the Pennsylvania Secretary of State to maintain good standing.

Article IV. Distributions & Allocations

Profits, losses, and distributions shall be allocated among members in proportion to their percentage interests, except as otherwise agreed in writing. Distributions shall be made [quarterly / annually / at the discretion of the [members / managers]]. The Company shall maintain capital accounts in accordance with Treas. Reg. § 1.704-1(b).

Article V. Dissolution & Pennsylvania-Specific Provisions

The Company shall dissolve upon [vote of majority members / occurrence of specific events]. Upon dissolution, the Company shall wind up its affairs and distribute remaining assets in accordance with Pennsylvania law. This agreement is governed by Pennsylvania law and any disputes shall be resolved in [forum].

7 more sections in the full document

Tax matters, indemnification, transfer restrictions, dissolution mechanics, signature pages, exhibits A & B (member roster + capital contributions), and amendment procedures. Plus state-specific signature-line text per $Pennsylvania convention.

Get the open dataset (free, CC BY 4.0)

Not legal advice. This template is a starting point for discussion with a licensed Pennsylvania attorney. Operating Agreements should be reviewed by counsel for your specific situation.

Pennsylvania LLC cost vs popular alternatives

A common decision is whether to form in your home state or an out-of-state filing state (Delaware, Wyoming, New Mexico). Out-of-state formation usually requires foreign-LLC registration in your home state too, adding both filing costs.

Pennsylvania LLC cost compared to New York, Delaware, Ohio, first-year, annual renewal, franchise tax, processing days, publication.
State First-year cost Annual renewal Franchise tax Processing days Publication required
Pennsylvania $125 $7 - 7 days -
New York $200 $4.5 - 7 days Yes ($1600)
Delaware $390 $300 - 14 days -
Ohio $99 $0 - 5 days -

Fees verified 2026-06-01 from each state's Secretary of State.

Frequently asked questions about Pennsylvania LLCs

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

Pennsylvania charges $125 to file the Certificate of Organization. An ongoing decennial report fee of $7 keeps the LLC in good standing. Verified 2026-06-01 from www.dos.pa.gov.

Does Pennsylvania require an annual report?

Yes. Pennsylvania requires a decennial report at $7.

What is the processing time in Pennsylvania?

Standard processing in Pennsylvania takes about 7 business days. Expedited processing is available for an additional $100, reducing turnaround to about 2 business days.

Does Pennsylvania have a publication requirement?

No. Pennsylvania does not require LLC formation to be published in newspapers.

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Not legal advice. Estimates based on publicly available data from each state's Secretary of State office. Consult a licensed attorney in your jurisdiction.