New Hampshire charges $100 to form an LLC; Vermont charges $155. 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, Vermont runs about $110 less in total state fees than New Hampshire. Whether that gap matters depends on whether you actually operate in one of these states or are weighing a non-resident filing.

On speed, Vermont typically clears standard online filings faster than New Hampshire. Both states offer expedited tiers at an additional cost for filers on tight timelines.

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
New Hampshire $100
Vermont $155
New Hampshire saves $55
Year 1 total estimate
New Hampshire $300
Vermont $300
Tied
Ongoing per year
New Hampshire $200
Vermont $145
Vermont saves $55
3-year total
New Hampshire $700
Vermont $590
Vermont saves $110

Key differences at a glance

  • New Hampshire costs $55 less to form ($100 vs $155).
  • Vermont is $55 per year cheaper to maintain ($145 vs $200).
  • New Hampshire 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 New Hampshire

  • Paid expedited tier
  • 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.

New Hampshire Vermont
Year 1
$300
$300
Year 2
$500
$445
Year 3
$700
$590

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 New Hampshire, business operates there
No foreign LLC registration needed. You pay New Hampshire fees only.
$300 $200 $700
You live in Vermont, business operates there
No foreign LLC registration needed. You pay Vermont fees only.
$300 $145 $590
Non-resident forming in New Hampshire with operations elsewhere
You pay New Hampshire's fees plus a typical home-state foreign LLC registration of about $200 per year.
$500 $400 $1,300
Non-resident forming in Vermont with operations elsewhere
You pay Vermont's fees plus a typical home-state foreign LLC registration of about $200 per year.
$500 $345 $1,190

New Hampshire vs Vermont: full comparison

Dimension New Hampshire Vermont
Online filing
Can you file the formation document online?
Yes Yes
Online approval time
Standard, non-expedited
10 business days 3 business days
Expedited option
Paid fast-track filing
$25 Not offered
Annual report
Required in addition to tax
Required, $100 Required, $45
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
$100 $155
State sales tax
General statewide rate
None 6.0%

Taxes in New Hampshire and Vermont

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.

New Hampshire tax

No entity-level franchise tax on LLCs. No state income tax. Corporate rate 7.5%.

Vermont tax

No entity-level franchise tax on LLCs. State income tax applies to member-level pass-through income. Corporate rate 8.5%.

Ongoing compliance

The recurring filings each state requires after formation.

New Hampshire

Annual report $100, due 04/01 each year. Registered agent required in New Hampshire.

Vermont

Annual report $45, due on your anniversary month. Registered agent required in Vermont.

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.

New Hampshire

  1. Check business-name availability on the New Hampshire entity search.
  2. Appoint a registered agent with a physical New Hampshire street address.
  3. File Certificate of Formation (Form LLC-1) for $100.
  4. Wait for approval. Online typically 10 business days. Paid expedite from $25.
  5. Adopt an operating agreement (recommended, not required by New Hampshire 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.

Vermont

  1. Check business-name availability on the Vermont entity search.
  2. Appoint a registered agent with a physical Vermont street address.
  3. File Articles of Organization for $155.
  4. Wait for approval. Online typically 3 business days. No paid expedite offered.
  5. Adopt an operating agreement (recommended, not required by Vermont 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 $45 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 New Hampshire and Vermont (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 New Hampshire or Vermont 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

New Hampshire Secretary of State, Corporation Division

Website
www.sos.nh.gov/corporations-0
Phone
(603) 271-3246
Email
corporate@sos.nh.gov
Mail
Corporation Division, 107 North Main Street, Room 204, Concord, NH 03301-4989
Office
State House, 107 North Main Street, Room 204, Concord, NH 03301
Hours
8:00 AM to 4:30 PM Eastern, Monday to Friday

Vermont Secretary of State, Corporations Division

Website
sos.vermont.gov/corporations
Phone
(802) 828-2386
Email
SOS.CorporationsSupport@vermont.gov
Mail
Vermont Secretary of State, Corporations Division, 128 State Street, Montpelier, VT 05633-1104
Office
128 State Street, Montpelier, VT 05633-1104
Hours
7:45 AM to 4:30 PM Eastern, Monday to Friday

New Hampshire Department of Revenue Administration

Website
www.revenue.nh.gov
Phone
(603) 230-5000
Mail
Governor Hugh Gallen State Office Park, 109 Pleasant Street (Medical and Surgical Building), Concord, NH 03301
Office
109 Pleasant Street, Concord, NH 03301
Hours
8:00 AM to 4:30 PM Eastern, Monday to Friday

Vermont Department of Taxes

Website
tax.vermont.gov
Phone
(802) 828-2505
Email
tax.business@vermont.gov
Mail
Vermont Department of Taxes, 133 State Street, 1st Floor, Montpelier, VT 05633-1401
Office
133 State Street, Montpelier, VT 05633-1401
Hours
7:45 AM to 4:30 PM Eastern, Monday to Friday

Frequently Asked Questions

  • Is it cheaper to form an LLC in New Hampshire or Vermont?

    New Hampshire is cheaper at formation ($100) than Vermont ($155). Ongoing costs are also different: $200 vs $145 per year. Total over three years: $700 vs $590.

  • Can I form an LLC in New Hampshire if I live in Vermont?

    Yes, but your Vermont business will almost certainly need to register as a foreign LLC in Vermont too, which means paying Vermont's foreign registration fee and any ongoing Vermont obligations on top of the New Hampshire 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 New Hampshire vs Vermont?

    New Hampshire online: 10 business days; Vermont online: 3 business days. New Hampshire offers paid expedite from $25. Vermont does not offer paid expedite.

  • Which state has lower taxes for an LLC, New Hampshire or Vermont?

    New Hampshire: no state income tax, no entity-level franchise or LLC tax. Vermont: 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. New Hampshire and Vermont 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 New Hampshire or Vermont 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 New Hampshire and Vermont comparisons

Sources

  • Filing fee: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-12/form_ll… · verified April 21, 2026
    New Hampshire Form LLC-1 Certificate of Formation: filing fee of $100 payable to State of New Hampshire. Online filing through NH QuickStart adds a $2 electronic processing surcharge (total $102). In-person walk-in filings carry an additional $25 expedite fee.
  • Expedited filing: sos.nh.gov/corporation-ucc-securities/corporation/forms-and-fees · verified April 21, 2026
    New Hampshire Secretary of State Corporation Division: expedited service is available in person in the Customer Lobby for an additional $25 fee, providing next business day processing. Not offered for standard online or mail filings. Recorded the $25 walk-in tier.
  • Annual report fee: www.sos.nh.gov/corporations-0/file-annual-report · verified April 21, 2026
    New Hampshire LLC annual report fee: $100 by mail or $102 online (includes $2 e-processing surcharge). Due April 1 each year. $50 late penalty applies if not filed by April 1. Filed through NH QuickStart.
  • Foreign LLC registration fee: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-11/form_fl… · verified April 21, 2026
    New Hampshire Form FLLC-1 Application for Foreign Limited Liability Company Registration: filing fee of $100. Matches the domestic Certificate of Formation fee.
  • Operating agreement requirement: law.justia.com/codes/new-hampshire/title-xxviii/chapter-304-c/section-… · verified April 21, 2026
    RSA 304-C:40 Form of Operating Agreement: an operating agreement may be written, oral, or implied by course of dealing or otherwise. New Hampshire does not require LLCs to adopt a written operating agreement. Recorded as not required.
  • Publication requirement: gc.nh.gov/rsa/html/nhtoc/nhtoc-xxviii-304-c.htm · verified April 21, 2026
    New Hampshire RSA Chapter 304-C contains no newspaper publication requirement for LLC formation. Not required.
  • Corporate income tax rate: www.revenue.nh.gov/taxes-glance/business-taxes · verified April 21, 2026
    New Hampshire Business Profits Tax (BPT) rate is 7.5% for taxable periods ending on or after December 31, 2023, and continuing for 2026 per NH DRA. This is the state's functional corporate income tax rate. Not combined with the 0.55% Business Enterprise Tax (BET), which is captured separately in taxes.notes per the playbook's maxCorporateRate = income-only rule.
  • Sales tax rate: www.revenue.nh.gov/ · verified April 21, 2026
    New Hampshire imposes no general state sales tax. A 9% Meals and Rooms (Rentals) Tax applies to prepared food, hotel lodging, and motor vehicle rentals, but no broad retail sales tax exists.
  • Business name search: quickstart.sos.nh.gov/online/BusinessInquire · verified April 21, 2026
    NH QuickStart Business Inquire portal. Use to confirm name availability before filing.
  • Online filing portal: quickstart.sos.nh.gov/online/Account/LandingPage · verified April 21, 2026
    NH QuickStart online business filing portal. Current published online processing time is 10 to 15 business days. Online submissions carry a $2 electronic processing surcharge on top of the $100 filing fee.
  • Certificate of Formation name: www.sos.nh.gov/sites/g/files/ehbemt561/files/documents/2023-12/form_ll… · verified April 21, 2026
    Mail-in paper form titled 'Certificate of Formation' (Form LLC-1), revised October 2018. Online filers complete the equivalent form through NH QuickStart.
  • Filing fee: legislature.vermont.gov/statutes/section/11/025/04012 · verified April 21, 2026
    11 V.S.A. §4012(a)(1): Articles of organization filing fee is $155.00. The fee was raised from $125 to $155 by 2023 Act 77 §37, effective June 20, 2023. Domestic LLC formation is filed through the Vermont Business Services Division online portal or by paper delivered to the Secretary of State.
  • Expedited filing: sos.vermont.gov/corporations/ · verified April 21, 2026
    Vermont does not publish a formal expedited service tier for LLC filings. Online submissions through bizfilings.vermont.gov are generally processed within a few business days. The Secretary of State's Corporations Division has not promulgated fee rules for 24-hour or same-day expedited service comparable to Maine or Delaware. Recorded as not offered.
  • Annual report fee: legislature.vermont.gov/statutes/section/11/025/04012 · verified April 21, 2026
    11 V.S.A. §4012(a)(15): Annual report of a domestic limited liability company fee is $45.00 (raised from $35 by 2023 Act 77 §37, effective June 20, 2023). §4012(a)(16): Annual report of a foreign LLC is $170.00. Report due date is set by 11 V.S.A. §4033(c): within three months after expiration of the company's fiscal year.
  • Foreign LLC registration fee: legislature.vermont.gov/statutes/section/11/025/04012 · verified April 21, 2026
    11 V.S.A. §4012(a)(2): Application for certificate of authority (foreign LLC registration) filing fee is $155.00, raised from $125 by 2023 Act 77 §37. Same fee as domestic formation.
  • Operating agreement requirement: legislature.vermont.gov/statutes/section/11/025/04003 · verified April 21, 2026
    11 V.S.A. §4003 governs the effect of the operating agreement. The operating agreement regulates the affairs of the LLC and may be stored or depicted in any tangible or electronic medium per §4001(20). Vermont statute does not require LLCs to adopt a written operating agreement; default chapter rules apply when no operating agreement exists.
  • Publication requirement: legislature.vermont.gov/statutes/chapter/11/025 · verified April 21, 2026
    11 V.S.A. Chapter 25 (Vermont Limited Liability Company Act) contains no newspaper publication requirement for LLC formation. Not required.
  • Corporate income tax rate: tax.vermont.gov/business/corporate-income-tax · verified April 21, 2026
    Vermont Department of Taxes Corporate Income Tax: graduated rate of 6.00% on the first $10,000 of Vermont net income; 7.00% on the next bracket to $25,000; 8.50% on income above $25,000. Top marginal corporate rate is 8.5%. Applies to C-corporations and to LLCs that elect C-corp treatment.
  • Sales tax rate: tax.vermont.gov/business/sales-and-use-tax · verified April 21, 2026
    Vermont Department of Taxes Sales and Use Tax: statewide sales tax rate is 6.0% on retail sales of tangible personal property unless exempted. Local option sales tax of 1% applies in select municipalities but is not included in the statewide rate. Meals and rooms tax and alcoholic beverages tax are separate.
  • Franchise tax: tax.vermont.gov/business/corporate-income-tax · verified April 21, 2026
    Vermont does not impose a franchise tax on LLCs. A $250 corporate minimum tax applies under 32 V.S.A. §5832 to C-corporations (and to LLCs that elect C-corp tax treatment), not to pass-through LLCs. Recorded as applies: false with nuance in taxes.notes.
  • Business name search: bizfilings.vermont.gov/online/BusinessInquire · verified April 21, 2026
    Vermont Business Services Division business inquiry portal. Use to confirm name availability before filing Articles of Organization.
  • Online filing portal: bizfilings.vermont.gov/online/Account · verified April 21, 2026
    Vermont Business Services Division online filing portal (Corporations Online Filing System, COFS). Most filings can be completed online with credit card payment. Paper filings accepted at 128 State Street, Montpelier. Typical online approval is 1 to 3 business days.