Alaska charges $250 to form an LLC; Kansas charges $85. Day-one sticker price is only part of the story, since most of the real cost comes from the annual obligations that stack up each year you keep the LLC open.

Over a rolling three-year window, Kansas runs about $180 less in total state fees than Alaska. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.

For most small operators the choice is not really between these two states at all. It is between forming where the business actually operates and trying to route through a non-resident filing. The data below shows what each option actually costs.

Formation filing fee
Alaska $250
Kansas $85
Kansas saves $165
Year 1 total estimate
Alaska $400
Kansas $230
Kansas saves $170
Ongoing per year
Alaska $150
Kansas $145
Kansas saves $5
3-year total
Alaska $700
Kansas $520
Kansas saves $180

Key differences at a glance

  • Kansas costs $165 less to form ($85 vs $250).
  • Kansas is $5 per year cheaper to maintain ($145 vs $150).
  • Alaska has no state individual income tax; pass-through LLC income flows to members without a state layer. The other state does tax at the member level.

Where each state fits

For most filers, forming in the state you actually operate from is the right call. The side-by-side below shows where the two states meaningfully diverge.

What each state offers that the other does not

Only Alaska

  • No state income tax
  • No state sales tax

Both states

  • Online filing
  • No entity-level franchise or LLC tax
  • No publication requirement
  • Operating agreement not statutorily required

Three-year cost, side by side

Rough estimate of the state-facing cost to form and keep an LLC through three years. Both totals include a $100 per year registered-agent estimate.

Alaska Kansas
Year 1
$400
$230
Year 2
$550
$375
Year 3
$700
$520

Running total includes the one-time filing fee and annual ongoing costs (report fee or franchise tax plus a $100/year registered agent estimate).

What it costs under your specific situation

The table below runs the same LLC through four common scenarios. "Non-resident" rows assume a typical home-state foreign LLC registration adds about $200 per year of stacked cost; the real number depends on which state you live in and ranges from $50 to over $800 depending on jurisdiction.

Scenario Year 1 Each year after 3-year total
You live in Alaska, business operates there
No foreign LLC registration needed. You pay Alaska fees only.
$400 $150 $700
You live in Kansas, business operates there
No foreign LLC registration needed. You pay Kansas fees only.
$230 $145 $520
Non-resident forming in Alaska with operations elsewhere
You pay Alaska's fees plus a typical home-state foreign LLC registration of about $200 per year.
$600 $350 $1,300
Non-resident forming in Kansas with operations elsewhere
You pay Kansas's fees plus a typical home-state foreign LLC registration of about $200 per year.
$430 $345 $1,120

Alaska vs Kansas: full comparison

Dimension Alaska Kansas
Online filing
Can you file the formation document online?
Yes Yes
Online approval time
Standard, non-expedited
1 business day 1 business day
Expedited option
Neither state offers paid expedite
Not offered Not offered
Annual report
Required in addition to tax
Required, $100 Required, $90
State-imposed annual tax
Franchise, privilege, or LLC tax minimum
None None
State income tax
On pass-through LLC income at member level
No Yes
Publication requirement
Newspaper publication after formation
No No
Operating agreement
Required by state statute
Recommended, not required Recommended, not required
Foreign LLC fee
Cost to register as a foreign LLC in this state
$350 $115
State sales tax
General statewide rate
None 6.5%

Taxes in Alaska and Kansas

How each state handles entity-level tax on LLCs. Pass-through classification means member-level income tax also applies at each member's residence state.

Alaska tax

No entity-level franchise tax on LLCs. No state income tax. Corporate rate 9.4%.

Kansas tax

No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 6.5%.

Ongoing compliance

The recurring filings each state requires after formation.

Alaska

Annual report $100, due 01/02 each year. Registered agent required in Alaska.

Kansas

Annual report $90, due 04/15 each year. Registered agent required in Kansas.

Formation process, side by side

What actually happens from the moment you start filing to the moment you're in good standing. Use this as a checklist.

Alaska

  1. Check business-name availability on the Alaska entity search.
  2. Appoint a registered agent with a physical Alaska street address.
  3. File Articles of Organization (form 08-484) for $250.
  4. Wait for approval. Online typically 1 business days. No paid expedite offered.
  5. Adopt an operating agreement (recommended, not required by Alaska statute).
  6. Apply for a federal EIN (free from the IRS).
  7. Open a business bank account to separate personal and business finances.
  8. File your first annual report and pay $100 when it comes due.

Kansas

  1. Check business-name availability on the Kansas entity search.
  2. Appoint a registered agent with a physical Kansas street address.
  3. File Articles of Organization, Domestic Kansas Limited Liability Company (Form DL) for $85.
  4. Wait for approval. Online typically 1 business days. No paid expedite offered.
  5. Adopt an operating agreement (recommended, not required by Kansas statute).
  6. Apply for a federal EIN (free from the IRS).
  7. Open a business bank account to separate personal and business finances.
  8. File your first annual report and pay $90 when it comes due.

Before you pick either state

A few things that apply no matter which state you choose. These trip up enough first-time filers that they're worth stating explicitly.

Registered agent is non-negotiable. Both Alaska and Kansas (and every other US state) require every LLC to designate a registered agent with a physical street address in the state of formation. You can serve as your own agent if you live in the state; otherwise a commercial agent runs $50 to $125 per year. Using your own home address makes it part of the public record.

Forming elsewhere does not escape your home state's tax. If you live and operate a business from your home state, forming the LLC in Alaska or Kansas does not avoid your home state's income tax. The moment you transact business at home, your home state requires a foreign LLC registration, and state tax liability follows your residence regardless of where the entity sits on paper.

EIN applications are free. The IRS issues Employer Identification Numbers directly at no cost. Any service charging you to "get your EIN" is reselling a free form submission. Single-member LLCs with no employees technically don't need one for federal tax, but nearly every bank requires an EIN to open a business account.

Operating agreement matters more than the state you pick. A well-drafted operating agreement governs member ownership, management, profit splits, buy-sell terms, and dissolution. Without one, your LLC runs on the state's default rules, which are rarely what you want. California, Maine, Missouri, and New York require a written one by statute; every other state treats it as strongly recommended.

Agency contacts

Alaska Division of Corporations, Business and Professional Licensing (Corporations Section)

Website
www.commerce.alaska.gov/web/cbpl/Corporations.aspx
Phone
(907) 465-2550
Email
corporations@alaska.gov
Mail
State of Alaska, Corporations Section, P.O. Box 110806, Juneau, AK 99811-0806
Office
State Office Building, 333 Willoughby Avenue, 9th Floor, Juneau, AK 99801-1770
Hours
8:00 AM to 4:30 PM Alaska Time, Monday to Friday (Juneau office)

Kansas Secretary of State, Business Services Division

Website
sos.ks.gov
Phone
(785) 296-4564
Email
kssos@ks.gov
Mail
Kansas Secretary of State, Docking State Office Building, 915 SW Harrison Street, Topeka, KS 66612
Office
Docking State Office Building, 915 SW Harrison Street, Topeka, KS 66612
Hours
8:00 AM to 5:00 PM Central, Monday to Friday

Alaska Department of Revenue, Tax Division

Website
tax.alaska.gov
Phone
(907) 269-6620
Mail
Alaska Department of Revenue, Tax Division, P.O. Box 110420, Juneau, AK 99811-0420
Office
550 W. Seventh Ave., Suite 500, Anchorage, AK 99501-3555
Hours
8:00 AM to 4:30 PM Alaska Time, Monday to Friday

Kansas Department of Revenue

Website
www.ksrevenue.gov
Phone
(785) 368-8222
Mail
Kansas Department of Revenue, Scott State Office Building, 120 SE 10th Avenue, Topeka, KS 66612-1103
Office
Scott State Office Building, 120 SE 10th Avenue, Topeka, KS 66612
Hours
8:00 AM to 4:45 PM Central, Monday to Friday

Frequently Asked Questions

  • Is it cheaper to form an LLC in Alaska or Kansas?

    Kansas is cheaper at formation ($85) than Alaska ($250). Ongoing costs are also different: $145 vs $150 per year. Total over three years: $520 vs $700.

  • Can I form an LLC in Alaska if I live in Kansas?

    Yes, but your Kansas business will almost certainly need to register as a foreign LLC in Kansas too, which means paying Kansas's foreign registration fee and any ongoing Kansas obligations on top of the Alaska ones. The "form elsewhere to save" math usually doesn't work for operating businesses; it only works when you have no physical operations tied to any specific state.

  • How long does it take to form an LLC in Alaska vs Kansas?

    Alaska online: 1 business day; Kansas online: 1 business day. Alaska does not offer paid expedite. Kansas does not offer paid expedite.

  • Which state has lower taxes for an LLC, Alaska or Kansas?

    Alaska: no state income tax, no entity-level franchise or LLC tax. Kansas: state income tax applies to member-level pass-through income, no entity-level franchise or LLC tax.

  • Do both states require a registered agent?

    Yes. Every US state (and DC) requires every LLC to maintain a registered agent with a physical street address in the state. Alaska and Kansas both have this requirement. You can serve as your own agent if you live in the state; most out-of-state filers use a commercial agent for $50 to $125 per year.

  • Which state should I pick if I run an online business from home?

    Form in the state you actually live in. Your home state's Department of Revenue treats your residence as nexus regardless of where the LLC is filed, which means you owe state income tax there anyway. Forming in Alaska or Kansas to escape your home state's tax doesn't work; it adds paperwork. The non-resident filings make sense when you genuinely operate nowhere in particular: international founders, purely passive holding entities, or real-estate LLCs owning property in other states.

Full state guides

More Alaska and Kansas comparisons

Sources

  • Filing fee: www.commerce.alaska.gov/web/Portals/5/pub/08-484.pdf · verified April 21, 2026
    Alaska Articles of Organization (form 08-484) instructions, citing AS 10.50.075: Filing Fee $250.00 for a domestic LLC. Same fee online and by mail. Online filings are immediate; hardcopy filings take 10 to 15 business days.
  • Expedited filing: www.commerce.alaska.gov/web/cbpl/Corporations/CorpFormsFees.aspx · verified April 21, 2026
    Alaska Corporations Section does not offer a separate expedited service tier. Online filings post immediately; there is no faster paid option.
  • Foreign LLC registration fee: www.commerce.alaska.gov/web/Portals/5/pub/08-497.pdf · verified April 21, 2026
    Certificate of Registration for a Foreign Limited Liability Company (form 08-497) under AS 10.50.615: filing fee $350.00.
  • Annual report fee: www.commerce.alaska.gov/web/cbpl/Corporations/BiennialReportsFAQs.aspx… · verified April 21, 2026
    Domestic LLC biennial report fee: $100.00 (or $137.50 after February 1 with $37.50 late penalty). Foreign LLC biennial report fee: $200.00 (or $247.50 late). Due January 2 every two years, based on formation year parity (odd-year or even-year cycle). Initial Report is a separate filing due within 6 months of formation with no fee.
  • Operating agreement requirement: www.commerce.alaska.gov/web/Portals/5/pub/08-484.pdf · verified April 21, 2026
    Form 08-484 instructions: members of an LLC may adopt an operating agreement but the State does not require it to be filed. Alaska Statutes Title 10 Chapter 50 does not require a written operating agreement.
  • Online filing portal: www.commerce.alaska.gov/CBP/Corporation/startpage.aspx?file=CRFIL&enti… · verified April 21, 2026
    Alaska Corporations Online Filing portal for domestic LLC Articles of Organization. Online filings post immediately to the state entity database.
  • Business name search: www.commerce.alaska.gov/cbp/main/search/entities · verified April 21, 2026
    Alaska CBPL Corporations entity search. Use to confirm name availability before filing Articles of Organization.
  • Franchise tax: tax.alaska.gov/ · verified April 21, 2026
    Alaska Department of Revenue Tax Division publishes no franchise tax on LLCs. The biennial report fee and the separate business license fee are administrative filing fees, not franchise taxes.
  • Corporate income tax rate: tax.alaska.gov/programs/programs/index.aspx?60380 · verified April 21, 2026
    Alaska imposes a graduated corporate income tax with ten brackets, topping out at 9.4%. This applies to C-corporations and to LLCs that elect C-corp treatment, not to default pass-through LLCs.
  • Sales tax rate: tax.alaska.gov/ · verified April 21, 2026
    Alaska has no statewide sales tax. Individual boroughs and municipalities may levy local sales taxes (typically 1% to 7.5%), but there is no state-level rate.
  • Certificate of Formation form: www.commerce.alaska.gov/web/Portals/5/pub/08-484.pdf · verified April 21, 2026
    Official Articles of Organization (form 08-484, Rev. 01/07/2013) for a domestic Alaska LLC. Use for hardcopy filings; online filings use the Corporations Online Filing portal instead.
  • Naming rules: www.commerce.alaska.gov/web/cbpl/BusinessLicensing/SelectaBusinessName… · verified April 21, 2026
    Alaska Division of Corporations guidance on selecting a business name, including the LLC naming rule that the name must contain limited liability company, L.L.C., or LLC.
  • Filing fee: sos.ks.gov/forms/business_services/DL.pdf · verified April 21, 2026
    Kansas SOS Form DL Articles of Organization, Domestic Kansas LLC (Rev. 2/27/26). Fee schedule on the instruction page: Online Articles of Organization $85, Paper Articles of Organization $90. K.S.A. 17-7673 authorizes the fee. This is a reduction from the prior $160/$165 schedule. The 2024 Freenetlaw seed fee of $160 reflects the earlier rate and has been superseded.
  • Annual report fee: sos.ks.gov/forms/business_services/ILC.pdf · verified April 21, 2026
    Kansas SOS Form ILC Information Report, Limited Liability Company or Series (Rev. 1/23/26). Online Information Report $90, Paper Information Report $110. K.S.A. 17-76,139. The Kansas SOS Information Reports page (sos.ks.gov/businesses/information-reports.html) confirms reports are now filed biennially (every two years) by April 15, with businesses matching the even/odd year of formation.
  • Corporate income tax rate: www.ksrevenue.gov/pdf/corpbook2024.pdf · verified April 21, 2026
    Kansas Corporate Income Tax Instructions (K-120 booklet, 2024). K-120 Line 29 Normal tax is 3.5% of Kansas taxable income; Line 30 Surtax is 3% of Kansas taxable income in excess of $50,000. Combined top-bracket C-corp rate is 6.5% on income over $50,000. Applies to LLCs electing C-corp treatment.
  • Sales tax rate: www.ksrevenue.gov/bustaxtypessales.html · verified April 21, 2026
    Kansas Department of Revenue Sales (Retailers) page: state retailers' sales tax is 6.5% under K.S.A. 79-3603 (effective July 1, 2015). Cities and counties may add local sales tax, pushing combined rates to 10%+ in some jurisdictions.
  • Foreign LLC registration fee: sos.ks.gov/forms/business_services/FA.pdf · verified April 21, 2026
    Kansas SOS Form FA Application for Registration of a Foreign (non-Kansas) Business (Rev. 3/2/26). Filing fee $115 for all foreign business types including LLCs. Foreign registrations must be filed by paper per the Kansas SOS (sos.ks.gov/businesses/register-a-business.html notes that foreign entities cannot file online). K.S.A. 17-7931.
  • Business name search: www.sos.ks.gov/eforms/BusinessEntity/Search.aspx · verified April 21, 2026
    Kansas SOS Business Entity Search. Name availability should also be checked at sos.ks.gov/eforms/BusinessEntity/NameAvailability.aspx before filing the Form DL.
  • Operating agreement requirement: www.ksrevisor.org/statutes/chapters/ch17/017_076_0110.html · verified April 21, 2026
    Kansas Revised Limited Liability Company Act (K.S.A. 17-76,134) recognizes operating agreements but does not require them to be written or adopted. The statute defines operating agreement broadly to include oral or written agreements, and the act provides default rules when no agreement exists. Kansas is not a required-operating-agreement state.