CobaltProsper

How to start an LLC in Indiana

By Brent Chudoba, editor Updated

Forming an LLC in Indiana costs $100 to file the Articles of Organization with the Indiana Secretary of State. After that you file a biennial report of $50. Indiana charges no franchise tax on a standard LLC. Registered agent requirement is mandatory; must maintain registered office in Indiana with a street address (PO boxes not acceptable), and the registered agent cannot be the business entity itself. The $100 Articles of Organization fee and $50 Business Entity Report fee above are the paper/mail rates printed on the current official state forms (State Form 49459 and State Form 48725). Filing online through INBiz, the Secretary of State's recommended channel, discounts these to roughly $95 and $32 respectively per the SOS fee calculator and multiple formation-service citations; this online discount could not be independently confirmed against a static .gov fee-schedule document because the INBiz Fee Calculator is a JavaScript tool with no fetchable page source.

How much does it cost to start an LLC in Indiana?

Indiana LLC costs (reviewed August 29, 2026)
ItemCost
Filing fee (Articles of Organization)$100
Biennial report$50 every 2 years
Franchise or business taxNone
Registered agentRequired

Source: Indiana Secretary of State, fee schedule reviewed August 29, 2026.

What are the steps to form an LLC in Indiana?

  1. Name your LLC. Pick a name that is available and meets Indiana naming rules, then check it against the Secretary of State's business database.
  2. Appoint a registered agent. Indiana requires a registered agent with a physical in-state address to receive legal mail. You can be your own agent, or hire a service.
  3. File the Articles of Organization. Submit it to the Indiana Secretary of State and pay the $100 fee. This is the step that legally creates the LLC.
  4. Get an EIN from the IRS. It is free and takes minutes. Do not pay a service for it. See how to get an EIN free from the IRS.
  5. Calendar your biennial report. Indiana charges $50 to keep the LLC in good standing. Missing it risks penalties or administrative dissolution.
  6. Open a business bank account. Keep business money separate from personal money so your liability protection holds up.

Does Indiana have a franchise tax on an LLC?

No. No franchise tax on regular LLCs. Only financial institutions subject to Financial Institutions Franchise Tax (FIT).

How is an LLC taxed in Indiana?

By default, an LLC is a pass-through entity: it pays no income tax itself, and the profits flow to the owners' personal returns. Indiana has a state individual income tax with a top rate of 2.95% (flat brackets), so those profits are taxed on your Indiana return on top of federal tax. 2.95% flat state rate for 2026, phased down from 3.05% (2024) to 3.0% (2025) to 2.95% (2026); frozen at 2.90% for 2027-2029 under the original HEA 1001 (2023) schedule as extended/accelerated by SB 451 (2025), with further 0.05-point cuts possible every other year from 2030 through 2043 only if state general-fund revenue-growth triggers are met. Every Indiana county also imposes a single consolidated Local Income Tax (LIT, IC 6-3.6) on residents and certain nonresidents, collected alongside the state tax, this is one combined per-county rate, NOT a stack of separate 'general' and 'property tax relief' levies. Per DOR Departmental Notice #1 (eff. Jan. 1, 2026) and the current county rate chart, county LIT rates range from 0.50% (Porter County) to 3.00% (Randolph County); Marion County's rate is 2.02%. Six counties (Carroll, Grant, Greene, Howard, Shelby, Union) raised their rates effective Jan. 1, 2026, but the statewide min/max and Marion's rate are unaffected by that change.

An LLC can also elect to be taxed as an S-corp, which changes how owners pay self-employment tax. See LLC vs S-corp vs sole proprietorship and how self-employment tax works.

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