How to Form an LLC in Connecticut (2026)

1. 1Choose a name for your LLC and verify availability by searching the Connecticut Secretary of State business database. Your name must include "Limited Liability Company," "LLC," or "L.L.C."
2. 2Appoint a registered agent (called a "statutory agent" in Connecticut) with a physical street address in Connecticut.
3. 3File a Certificate of Organization with the Connecticut Secretary of the State. The filing fee is $120. Online filing is available through the Connecticut Business Filing portal.
4. 4Obtain an EIN (Employer Identification Number) from the IRS at no cost.
5. 5Create an operating agreement outlining ownership, management, and profit distribution. Not legally required but strongly recommended.
6. 6Open a business bank account with your Certificate of Organization, EIN, and operating agreement.
7. 7Obtain any required business licenses and permits. Check with your town clerk for local requirements.
8. 8File your first annual report on the anniversary of formation. The fee is $80.

• ✓Obtain an EIN from the IRS (free, apply online at irs.gov)
• ✓Open a dedicated business bank account
• ✓Register for Connecticut taxes with the Department of Revenue Services
• ✓Get business insurance (general liability at minimum)
• ✓Set up an accounting system to track income and expenses
• ✓Apply for any local business licenses with your town clerk
• ✓Pay the $250 Business Entity Tax if applicable

Your Connecticut LLC name must contain "Limited Liability Company," "LLC," or "L.L.C." The name cannot include words suggesting it is a different type of entity. Restricted words like "Bank," "Insurance," or "Trust" require additional licensing. The name must be distinguishable from other registered business entities in Connecticut.

Connecticut LLCs are pass-through entities by default. Members pay Connecticut individual income tax on their share of profits (rates range from 3% to 6.99%). Connecticut does not impose a franchise tax on LLCs, but there is a $250 Business Entity Tax that applies to most LLCs. The annual report costs $80.

LLC vs. other structures in Connecticut

Connecticut has moderate LLC costs with a $120 filing fee and $80/year annual report. The $250 Business Entity Tax adds to the expense. For high-income businesses, the 6.99% top personal tax rate is significant. An S-Corp election can reduce self-employment taxes for profitable LLCs.

• •File an annual report on the anniversary of formation — $80 fee
• •Pay the $250 Business Entity Tax if applicable
• •Maintain a statutory agent with a physical address in Connecticut at all times
• •Keep your operating agreement current and update it when membership changes
• •File Connecticut state income tax returns for all members receiving pass-through income

Connecticut has higher-than-average LLC costs. Weigh the total cost of formation and annual maintenance against your expected revenue before deciding.

In general, you should form your LLC in the state where you physically live and conduct business. Forming in a "tax-friendly" state like Wyoming, Delaware, or Nevada sounds appealing, but if you operate in Connecticut, you will still need to register as a foreign LLC there — paying fees in both states.

An LLC is almost always a better choice than operating as a sole proprietorship because of the personal liability protection it provides. However, if your LLC is highly profitable, you should talk to a CPA about electing S-Corp tax treatment to potentially reduce your self-employment tax burden.

What Connecticut LLC Owners Need to Know

• •Connecticut uses a Certificate of Organization instead of Articles of Organization
• •Annual report is due on the anniversary date of formation each year
• •Connecticut has a $250 business entity tax for most LLCs (separate from the annual report fee)

Official Connecticut Resources

• Connecticut Secretary of the State — Business Services
• Connecticut Business Filing Portal