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How much does an LLC cost in Alabama? (2026)
Forming an LLC in Alabama costs $225 in state filing fees. Year one comes to $225 and 5 years to $225, below the median state ($335). Alabama has no paid recurring report and no minimum state tax on the official pages we read, so the state charges nothing each year after formation.
Alabama LLC, 5 years
State fees, acting as your own registered agent
Year 1
Assumes the recurring report is first due in year 2 and the minimum state tax every year from year 1. Income-based taxes and county or newspaper costs are not included.
Fees and official sources
| Fee | Amount | How often | Source |
|---|---|---|---|
| Formation filing | $225 | once | official page |
| Recurring report | $0 | no recurring report | official page |
| Minimum state tax | $0 | none | official page |
Adding a registered agent
You can be your own registered agent if you have a street address in Alabama and are there in business hours. With the lowest standalone price on our list, Harbor Compliance (registered agent) at $99 a year, the 5-year cost becomes $720. Compare registered agent prices.
Alabama deadlines and late penalties
- An LLC that owes Alabama's business privilege tax files its first return (Form BPT-IN) within two and a half months of formation.
- After that, the business privilege tax return for an LLC is due on the same date as its federal income tax return.
What to know before you file in Alabama
- The $225 formation cost includes the $200 Certificate of Formation and the $25 name reservation the state requires. Alabama's business privilege tax is $0 only while your tax works out to $100 or less; above that you owe it in full.
Alabama compared with nearby states
Among nearby states, Mississippi costs $175 less over 5 years and Tennessee costs $1,775 more than Alabama. The state where you form is usually the state where the LLC does business; forming elsewhere can mean registering in both.
| State | To file | Year 1 | Average per year after | 5 years |
|---|---|---|---|---|
| Alabama | $225 | $225 | $0 | $225 |
| Mississippi | $50 | $50 | $0 | $50 |
| Florida | $125 | $125 | $138.75 | $680 |
| Tennessee | $300 | $400 | $400 | $2,000 |
Questions
- How much does it cost to start an LLC in Alabama?
- The state filing fee is $225. Counting the recurring report and minimum state tax, year one costs $225 in state fees if you act as your own registered agent.
- How much does an LLC cost per year in Alabama?
- Nothing at the state level: Alabama has no paid recurring report and no minimum state tax on the official pages we read.
- Is Alabama a cheap state for an LLC?
- Over 5 years Alabama costs $225 in state fees, which ranks 19 of 49 jurisdictions we have confirmed, cheapest first. The median is $335.
Sources, read verified 2026-11-15: sos.alabama.gov/sites/default/files/form-files/FeeSchedule.pdf · revenue.alabama.gov/wp-content/uploads/2024/01/BPT_Annual-Report_Notic · revenue.alabama.gov/notice-important-changes-to-the-2024-business-priv · revenue.alabama.gov/faq-categories/business-privilege-tax/ · revenue.alabama.gov/individual-corporate/due-dates/