How much does it cost to form an LLC in Washington in 2026?

The Certificate of Formation filing fee is $180, whether filed online through CCFS or by mail. Plan for another $50 to $125 per year for a commercial registered agent with a Washington street address. The annual report fee is $70 per year. Expedited filing is $100 for 3 business days turnaround if you need it; same-day service is $150 but only by front-counter delivery in Olympia.

Does Washington have a state income tax on LLCs?

No. Washington imposes no state personal income tax and no state corporate income tax, so LLC income and member-level distributions are not taxed by the state directly. Washington taxes business activity through the Business & Occupation (B&O) gross-receipts tax instead, which applies to revenue rather than profit. That distinction is the single most important thing to understand about Washington's tax regime.

What is the Washington B&O tax and will my LLC owe it?

The B&O is a gross-receipts tax collected by the Department of Revenue on almost every business activity in Washington. Service and other activities pay 1.5% below $1M in annual taxable income, 1.75% from $1M to $5M, and 2.1% above $5M (effective October 1, 2025). Retailing is 0.471% and wholesaling is 0.484%. Almost every Washington LLC registers for and pays B&O, with small-business credits reducing the bill for low-revenue filers but rarely eliminating it.

Does Washington have an annual report for LLCs?

Yes. Washington LLCs file an annual report by the last day of the LLC's formation-anniversary month each year. The fee is $70. A $25 delinquency fee pushes the total to $95 if filed late, and the Secretary of State administratively dissolves the LLC if the report remains unfiled 90 days past its due date. Washington also requires a free Initial Report within 120 days of formation, which can be bundled with the Certificate of Formation.

Should I form my LLC in Washington instead of my home state?

Only if you actually live or operate in Washington. The 'no income tax' pitch does not survive contact with the B&O tax for a non-resident online business, because B&O only triggers on Washington nexus, which you would not have if you had no Washington operations. For out-of-state founders, Wyoming or your home state is almost always the better pick. Washington is a legitimate home state, not a formation-arbitrage state.

Does Washington require an operating agreement?

No. RCW 25.15.018 recognizes written, oral, or implied LLC agreements and does not require one to be filed or to exist. Default statutory rules under RCW 25.15 fill the gaps if members have no agreement. A written operating agreement is still strongly advised for multi-member LLCs and for preserving the liability shield in contested matters.

Are there any new Washington LLC tax changes in 2026?

Two changes land in the 2025 to 2026 window. The top B&O rate for service and other activities rose to 2.1% for businesses with Washington taxable income above $5 million, effective October 1, 2025. A new 0.5% surcharge on Washington taxable income over $250 million takes effect January 1, 2026. Both affect larger businesses rather than typical small LLCs, but the direction of travel on Washington's gross-receipts regime is up, not down.

Washington LLC: fees, filing steps, and 2026 costs

$180 Filing fee Online filing available

$350 Year 1 estimate Filing + first year tax + RA

5 days (expedited 72h) Approval Mail ~14d

$70 annual report Ongoing

Where Washington fits, and where it doesn't

Good fit for Washington

You live in Washington and operate your business from Seattle, Tacoma, Spokane, or anywhere else in the state. You run a professional services firm, an e-commerce business, or a trades operation with Washington customers. You are a tech founder in Seattle with an LLC that will eventually raise money or sell, and you are comfortable with the B&O because your margins can absorb it. You own Washington real estate and want a Washington entity to hold it. You value the absence of a personal income tax more than you mind the B&O on gross revenue.

Skip Washington when

You are a non-resident founder who heard Washington has no income tax and thought that meant no state-level tax at all. It does not. The B&O hits service businesses at 1.5% of gross receipts below $1M, 1.75% between $1M and $5M, and 2.1% above $5M (effective October 1, 2025), plus a new 0.5% surcharge on Washington taxable income above $250M from January 1, 2026. That math beats an income tax only when your net margin is high enough to absorb a tax on revenue. For most online businesses with no Washington nexus, form at home or in Wyoming.

What a Washington LLC actually costs

Formation filing fee Paid once at formation $180
Commercial registered agent Annual, estimate $100
Annual report fee Annual $70
Year 1 total estimate Formation plus first-year ongoing $350

Registered agent estimate uses a $100 midpoint. Specialist agents start around $50 per year. Full-service formation companies bundle RA for $125 to $200.

Cost across the first three years

Year 1 $350

Year 2 $170

Year 3 $170

How Washington compares on the basics

Online filing File through state portal

Yes

Expedited processing $100 for 72h

Yes

Annual report required Separate report on top of tax

Yes

State-imposed annual tax None beyond income tax

Written operating agreement required Recommended, not statutorily required

Recommended

Newspaper publication requirement Not required in this state

State sales tax 6.5% state rate

6.5%

How to apply for an LLC in Washington

Pick a compliant LLC name
The name must end in "Limited Liability Company," "LLC," or an approved abbreviation, and must be distinguishable from every other entity on the Washington Secretary of State record. Check availability at the Washington entity search.
Designate a registered agent
Every Washington LLC is required to have a registered agent with a physical street address in Washington. You can serve as your own agent if you live in Washington, or hire a commercial service for $99 to $249/yr. See the Washington registered agent guide.
File Certificate of Formation - Limited Liability Company
Filing fee is $180. Online filing is available through the state portal. Mail filings are accepted. Paid expedite is available for $100.
Apply for a federal EIN
Free directly from the IRS in about 15 minutes (see the EIN guide). Required for opening a business bank account, hiring employees, and most formation-service tax workflows.
Adopt an operating agreement
Washington does not require an operating agreement by statute, but adopting one is strongly recommended to preserve the liability shield. See the operating agreement pillar for the 12 clauses every agreement should include.

Filing walkthrough

You file the Certificate of Formation through the Corporations and Charities Filing System (CCFS) at ccfs.sos.wa.gov. The fee is $180 whether you file online or by mail. Online filings typically clear in 5 business days; mail filings take around 14 business days. Expedited service is $100 for 3 business days turnaround, and same-day service is $150 but requires front-counter delivery in Olympia.

Every Washington LLC needs a registered agent with a Washington street address. You can serve as your own if you live here, or use a commercial agent for the usual $50 to $125 per year. One quirk worth flagging: Washington also requires an Initial Report within 120 days of formation, and this one is free. The CCFS portal lets you bundle it with the Certificate of Formation at filing time, which saves you having to come back in four months. File them together and forget it.

Check name availability File online Washington formation guidance

How Washington taxes an LLC

Washington has no state personal income tax and no state corporate income tax. It is one of the handful of states that has never had a broad-based income tax, and the state constitution has historically been read to forbid one. For an LLC taxed as a pass-through, that means no state-level income return and no state return on member-allocated profits.

The tax that replaces income tax is the Business & Occupation (B&O) tax, and it is structurally different from almost every other state's tax regime. B&O is a gross-receipts tax, meaning it applies to revenue before expenses. Rates vary by activity: retailing is 0.471%, wholesaling and manufacturing are 0.484%, and services and other activities sit at 1.5% for businesses under $1M of annual taxable income, 1.75% for $1M to $5M, and 2.1% above $5M (the new top tier took effect October 1, 2025). A 0.5% surcharge on Washington taxable income over $250M kicks in January 1, 2026. A service LLC doing $500K in gross revenue with a 15% net margin pays B&O on the full $500K, not on its $75K of profit, which is the structural trade that people coming from income-tax states do not always see.

Sales tax is 6.5% statewide, with combined state and local rates running from about 7% to 10.6% depending on jurisdiction. Washington also has a 7% capital gains excise tax on long-term gains above roughly $270,000, which applies to owners at the individual level rather than to LLC entities.

Ongoing compliance and costs after year one

Budget $70 per year for the Secretary of State annual report and $50 to $125 for a registered agent. That is the clean part of the compliance picture. The messy part is the B&O tax, which is filed with the Department of Revenue (not the Secretary of State) on a monthly, quarterly, or annual basis depending on revenue level. Most small LLCs file annual B&O returns.

There is no franchise tax, no privilege tax, no biennial filing. If you also foreign-qualify in another state, that state's fees stack on top, but nothing at the Washington level scales with entity size. The B&O scales with gross revenue, and that is the number to watch as the business grows.

Common mistakes forming a Washington LLC

Two patterns come up. First, founders form in Washington expecting the 'no state income tax' headline to mean no state-level business tax, then get their first B&O notice and realize the gross-receipts math applies at dollar one. Register with the Department of Revenue and set aside the B&O from the start. Second, filers miss the Initial Report, which is due within 120 days of formation and is free when bundled with the Certificate of Formation. If you do not bundle it, you have to come back in four months and file it separately, and missing it gets the LLC flagged as delinquent.

State agencies that handle Washington LLCs

Washington Secretary of State - Corporations & Charities Division

Website: www.sos.wa.gov/corporations-charities
Phone: (360) 725-0377
Email: corps@sos.wa.gov
Mail: Corporations & Charities Division, P.O. Box 40234, Olympia, WA 98504-0234
Office: 801 Capitol Way S, Olympia, WA 98501-1226
Hours: 8:00 AM to 5:00 PM Pacific, Monday to Friday

Washington State Department of Revenue

Website: dor.wa.gov
Phone: (360) 705-6705
Mail: Washington State Department of Revenue, P.O. Box 47450, Olympia, WA 98504-7450
Office: 6500 Linderson Way SW, Tumwater, WA 98501
Hours: 8:00 AM to 5:00 PM Pacific, Monday to Friday

Frequently Asked Questions

How much does it cost to form an LLC in Washington in 2026?

The Certificate of Formation filing fee is $180, whether filed online through CCFS or by mail. Plan for another $50 to $125 per year for a commercial registered agent with a Washington street address. The annual report fee is $70 per year. Expedited filing is $100 for 3 business days turnaround if you need it; same-day service is $150 but only by front-counter delivery in Olympia.
Does Washington have a state income tax on LLCs?

No. Washington imposes no state personal income tax and no state corporate income tax, so LLC income and member-level distributions are not taxed by the state directly. Washington taxes business activity through the Business & Occupation (B&O) gross-receipts tax instead, which applies to revenue rather than profit. That distinction is the single most important thing to understand about Washington's tax regime.
What is the Washington B&O tax and will my LLC owe it?

The B&O is a gross-receipts tax collected by the Department of Revenue on almost every business activity in Washington. Service and other activities pay 1.5% below $1M in annual taxable income, 1.75% from $1M to $5M, and 2.1% above $5M (effective October 1, 2025). Retailing is 0.471% and wholesaling is 0.484%. Almost every Washington LLC registers for and pays B&O, with small-business credits reducing the bill for low-revenue filers but rarely eliminating it.
Does Washington have an annual report for LLCs?

Yes. Washington LLCs file an annual report by the last day of the LLC's formation-anniversary month each year. The fee is $70. A $25 delinquency fee pushes the total to $95 if filed late, and the Secretary of State administratively dissolves the LLC if the report remains unfiled 90 days past its due date. Washington also requires a free Initial Report within 120 days of formation, which can be bundled with the Certificate of Formation.
How long does it take to form a Washington LLC?

Online filings through the CCFS portal typically clear in 5 business days. Mail filings take around 14 business days. Expedited service is $100 for 3 business days turnaround, and $150 same-day service is available by front-counter delivery to the Olympia office.
Should I form my LLC in Washington instead of my home state?

Only if you actually live or operate in Washington. The 'no income tax' pitch does not survive contact with the B&O tax for a non-resident online business, because B&O only triggers on Washington nexus, which you would not have if you had no Washington operations. For out-of-state founders, Wyoming or your home state is almost always the better pick. Washington is a legitimate home state, not a formation-arbitrage state.
Does Washington require an operating agreement?

No. RCW 25.15.018 recognizes written, oral, or implied LLC agreements and does not require one to be filed or to exist. Default statutory rules under RCW 25.15 fill the gaps if members have no agreement. A written operating agreement is still strongly advised for multi-member LLCs and for preserving the liability shield in contested matters.
Are there any new Washington LLC tax changes in 2026?

Two changes land in the 2025 to 2026 window. The top B&O rate for service and other activities rose to 2.1% for businesses with Washington taxable income above $5 million, effective October 1, 2025. A new 0.5% surcharge on Washington taxable income over $250 million takes effect January 1, 2026. Both affect larger businesses rather than typical small LLCs, but the direction of travel on Washington's gross-receipts regime is up, not down.
How do I apply for an LLC in Washington?

Apply for an LLC in Washington by filing Certificate of Formation - Limited Liability Company with Washington Secretary of State - Corporations & Charities Division. The filing fee is $180. Online filing is available through the state portal. Approval typically takes 5 business days online. Mail filings take about 14 business days. Before filing, pick a registered agent (see the Washington registered agent guide) and confirm your business name is available using the state's entity search.

Compare Washington to another state

Side-by-side breakdowns of fees, taxes, approval time, and compliance. Every other US jurisdiction has a dedicated compare page against Washington.

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Washington vs Louisiana

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Washington vs Pennsylvania

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Washington vs Rhode Island

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Washington vs Utah

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Sources

Filing fee: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
WA SoS Corporations & Charities Division Fee Schedule. Under 'Limited Liability Companies (RCW 25.15)': Original Filings = $180. Same $180 fee applies whether filed online through CCFS or by mail. Washington does not charge an online-vs-mail differential for the Certificate of Formation itself.
Expedited filing: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
Expedited service = $100 per business entity, generally processed within three working days. Same-day service = $150 per business entity (front-counter submission only). Mail-in expedited requests must include $100 and label envelope 'EXPEDITE'. We record the $100 three-business-day (approx 72-hour) tier.
Foreign LLC registration fee: www.sos.wa.gov/corporations-charities/business-entities/limited-liabil… · verified April 21, 2026
Foreign Registration for a non-WA LLC = $180 filing fee, matching the domestic Certificate of Formation fee.
Operating agreement requirement: app.leg.wa.gov/rcw/default.aspx?cite=25.15.018 · verified April 21, 2026
RCW 25.15.018 (Washington Limited Liability Company Act) recognizes an LLC agreement that may be oral, written, or implied. There is no statutory requirement that LLCs adopt an operating agreement, so this is recorded as not required. If none is adopted, the default provisions of RCW 25.15 govern.
Publication requirement: app.leg.wa.gov/rcw/default.aspx?cite=25.15 · verified April 21, 2026
Washington imposes no publication requirement on LLCs. RCW Chapter 25.15 contains no publication mandate.
Annual report fee: www.sos.wa.gov/corporations-charities/frequently-asked-questions-faqs/… · verified April 21, 2026
Annual Report fee for profit business entity types (including LLCs) is $70, increased per WAC 434-112-085(7) and codified in RCW 23.95.515. Annual Report with delinquency fee = $95. Initial or Amended Annual Report = $10.
Franchise tax: dor.wa.gov/taxes-rates/business-occupation-tax · verified April 21, 2026
Washington has no franchise tax on LLCs. Washington's Business & Occupation (B&O) tax is a gross-receipts tax, not a franchise tax. B&O rates in 2026: retailing 0.471%, wholesaling 0.484%, manufacturing 0.484%, service & other activities 1.5% (less than $1M in prior-year taxable income), 1.75% ($1M-$5M), 2.1% (over $5M effective Oct 1, 2025). Additional 0.5% surcharge on WA taxable income over $250M from Jan 1, 2026. Because the B&O is structurally a gross-receipts tax on business activity rather than a capital-based franchise tax, franchiseTax.applies is set to false.
Corporate income tax rate: dor.wa.gov/taxes-rates/business-occupation-tax · verified April 21, 2026
Washington has no corporate income tax; maxCorporateRate is recorded as null. The state's business tax is the B&O gross-receipts tax (captured in franchiseTax.notes). Washington also has no state personal income tax, only a 7% long-term capital gains excise tax for individuals above the threshold.
Sales tax rate: dor.wa.gov/taxes-rates/sales-use-tax-rates · verified April 21, 2026
Washington's statewide sales and use tax rate is 6.5%. Cities and counties add local sales taxes, bringing combined rates to roughly 7% to 10.6% depending on jurisdiction. Only the 6.5% statewide rate is recorded here.
Business name search: ccfs.sos.wa.gov/#/AdvancedSearch · verified April 21, 2026
Corporations and Charities Filing System (CCFS) advanced search. Same platform used for online filings.
Online filing portal: ccfs.sos.wa.gov/ · verified April 21, 2026
Washington's Corporations and Charities Filing System (CCFS) portal. Standard online approvals typically complete within 5 business days. Filers can bundle the free Initial Report with the Certificate of Formation to satisfy the 120-day initial report requirement at no extra cost.
Certificate of Formation name: www.sos.wa.gov/sites/default/files/2022-09/12.10.2020---certificate-of… · verified April 21, 2026
Mail-in paper form titled 'Certificate of Formation - Limited Liability Company'. Online filers use the equivalent CCFS on-screen form.

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