Montana has the lowest LLC filing fee in America — but speed is its own price

Montana offers the lowest LLC filing fee in the United States at just $35. Combined with no annual report fee (currently) and no state sales tax, Montana is an increasingly popular choice for budget-conscious LLC owners.

The Big Sky State has been gaining attention in the LLC formation world for two reasons: rock-bottom costs and no sales tax. Montana is one of only five US states with no sales tax at all (the others are Alaska, Delaware, New Hampshire, and Oregon). This makes it particularly attractive for businesses selling physical products and — controversially — for vehicle registration.

The key uncertainty with Montana is stability. The state currently has no annual report fee for LLCs, but this is not guaranteed to continue. The Montana legislature has discussed introducing annual fees, and the policy landscape could change. Wyoming's $60/year, while more expensive than Montana's current $0, is predictable and has been stable for decades.

Montana is a solid choice if you want the absolute lowest formation cost today and are comfortable with potential future fee changes. For long-term predictability, Wyoming is safer. If outside investors or a future C-corp conversion are on your horizon, see Delaware. And for the full national picture, see our United States overview.

All fees below are sourced from the Montana Secretary of State website.

Step 1: Choose your LLC name

Search for available names on the Montana Business Entity Search. Your name must include "Limited Liability Company," "LLC," or "L.L.C." Name reservation costs $10 for 120 days.

Step 2: Appoint a registered agent

Every Montana LLC must have a registered agent with a physical street address in Montana. The agent can be a Montana resident or a business entity authorized to do business in Montana.

Step 3: File Articles of Organization

File online through the Montana Secretary of State or by mail. The filing requires:

• LLC name with designator
• Duration (perpetual or specific date)
• Registered agent name and Montana address
• Principal office address
• Organizer name and address
• Member-managed or manager-managed designation
• $35 filing fee

Step 4: Create an Operating Agreement

Montana does not require an Operating Agreement to be filed, but it is essential for banking and legal protection.

Step 5: Obtain an EIN

Apply for an EIN from the IRS. Standard process for all states. This is the step that gates your banking — and the step a ready-made LLC has already completed for you.

Step 6: Open a bank account

Montana LLCs are accepted by US neobanks and traditional banks. The formation state does not typically affect bank account approval.

Montana currently has the lightest compliance requirements alongside New Mexico:

1. Annual report: Not currently required. Montana may introduce this in the future.
2. Federal tax filing: Form 5472 with pro forma 1120 for foreign-owned LLCs. Due April 15.
3. Montana income tax: If you have Montana-sourced income, file a Montana income tax return (6.75%).
4. Registered agent: Maintain a registered agent with a physical Montana address.
5. FinCEN BOI Report: Required under the Corporate Transparency Act.

Montana is widely known for vehicle registration without sales tax. Some people form Montana LLCs to register expensive vehicles (luxury cars, RVs, boats) and avoid paying sales tax in their home state. Here is what you need to know:

• It is legal to register a vehicle in Montana through an LLC — Montana has no sales tax on any purchase, including vehicles
• Your home state may still require use tax if the vehicle is primarily kept and used there
• Several states have cracked down on this practice, particularly for residents who register out-of-state to avoid their state's sales tax
• The savings can be significant: On a $100,000 vehicle in a state with 8% sales tax, you save $8,000 by registering in Montana
• Consult a tax professional: We do not provide tax advice, and the legality depends on your specific circumstances and home state laws

Even with expedited filing, you still need to apply for and receive your EIN afterwards before you can bank. A ready-made Wyoming LLC removes both waits — it's registered and the EIN already exists, with transfer completing within 24 hours.

Every formation package includes:

• Articles of Organization filing with Montana Secretary of State
• One year of registered agent service in Montana
• Custom Operating Agreement
• EIN application
• Banking introduction letter
• Digital document delivery within 24 hours of state approval
• Compliance calendar with all filing deadlines
• Dedicated support

Comparing states? Our state comparison guide covers Montana alongside Wyoming, Delaware, and New Mexico.