Starting an LLC in Montana: Costs, Taxes, and Other Details

How much does it cost to start an LLC in Montana?
The cost to start a Montana limited liability company (LLC) is $70. This fee is paid to the Montana Secretary of State when filing the LLC’s Articles of Organization. Use our free Form an LLC in Montana guide to do it yourself.
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The fees and regulations of setting up a limited liability company (LLC) may be on your mind if you’re considering launching a business in Montana. The state of Montana is renowned for being business-friendly, and establishing an LLC there is a pretty simple procedure. We’ll go through the pricing and other specifics of forming an LLC in Montana in this article.

Prices for establishing an LLC in Montana

You must submit Articles of Organization to the Montana Secretary of State in order to establish an LLC there. This document requires a filing fee of $70. Online or mail-in filing is an option. If you decide to file electronically, you must register for an account on the website of the Montana Secretary of State and follow the filing guidelines. If you decide to file by mail, you must print off and complete the Articles of Organization form from the Secretary of State’s website before mailing it to the specified location.

You might wish to take into account the cost of employing a registered agent in addition to the filing fee. A registered agent is a person or business who consents to accept court summonses and other crucial paperwork on your LLC’s behalf. According to Montana law, each LLC must appoint a registered agent with a local address. If you have a physical address in Montana, you can act as your own registered agent or pay a registered agent service to do so. Taxes for LLCs in Montana

LLCs in Montana must pay both federal and state taxes. Although the state of Montana does not have a specific LLC tax, LLCs must still pay corporate income tax on their gains. In Montana, there is a flat corporate income tax rate of 6.75%. LLCs in Montana that have employees must also pay state unemployment insurance taxes.

Additionally, LLCs have a choice in how they are taxed for federal income tax reasons. Multi-member LLCs are taxed as partnerships by default, whereas single-member LLCs are taxed as sole proprietorships. However, LLCs have the option of electing to be taxed like corporations by submitting IRS Form 8832.

LLCs’ legal standing in Montana

LLCs are treated as legal persons in Montana, which means they can own property, enter into contracts, and bring legal actions just like any other person. LLCs in Montana are additionally governed by state laws and rules, such as consumer protection statutes and requirements for business licenses.

Incorporating an LLC in Montana

In Montana, establishing an LLC normally takes a few weeks. The Montana Secretary of State will review your application when your Articles of Organization are submitted and may require additional details or adjustments. The Secretary of State will issue you a certificate of organization once your LLC has been approved.

In conclusion, establishing an LLC in Montana will cost you $70 in filing fees, and LLCs are taxed both locally and federally. In Montana, LLCs are recognized as legal persons and are governed by state legislation. In Montana, establishing an LLC normally takes a few weeks.