How to form an LLC in Ohio

Who should form an LLC in Ohio?

Anyone who lives in Ohio or runs their business from there. If you form in another state but operate in Ohio, you will usually have to register there as a foreign LLC anyway, paying both states' fees. See home state or another state.

How do you form an LLC in Ohio, step by step?

1. Choose and check the name

   Search the state's business records and include "LLC", "L.L.C." or "Limited Liability Company" in the name.

2. Appoint a registered agent

   A person or company with a physical street address in Ohio. See what a registered agent is.

3. File the Articles of Organization

   Online through Ohio Business Central, or by mail, with the $99 fee. Ohio calls the registered agent a statutory agent, who must sign an acceptance. Expedited service is available for an extra fee.

4. Get an EIN and sign an operating agreement

   The EIN is free from the IRS. See LLC operating agreement.

5. Register for state taxes

   Sales tax and payroll as needed. Then note the first yearly filing date.

What does Ohio require every year?

Ohio does not require LLCs to file an annual report, and there is no annual LLC fee, so after formation the Secretary of State filing obligations are limited to keeping the statutory agent and records current.

For deadlines, fees and late penalties in detail, see Ohio LLC yearly filings.

What is Ohio's commercial activity tax?

A tax on gross receipts, not profit, at 0.26%, which replaced Ohio's corporate franchise tax. Since 2025, the first $6 million of Ohio taxable gross receipts is excluded, and businesses below that level do not register or file. Larger businesses pay 0.26% on receipts above the exclusion.

What are Ohio municipal income taxes?

Many Ohio cities and villages levy an income tax, typically 1% to 2.5%, on wages earned and business net profits generated there. LLCs with profit in those cities may need to file municipal net profit returns, and employers withhold municipal tax from wages. Many municipalities file through central collection agencies.

What do the first two years cost?

Should you file it yourself or use a formation service?

Filing yourself costs only the state fee, and the Ohio filing is short enough for most owners to complete. A formation service saves time, can act as your registered agent and may send reminders for yearly filings, but compare total yearly costs: low headline prices are often paired with paid add-ons such as expedited filing, operating agreements or EIN applications, which you can do yourself free. Whichever you choose, keep the approved filing, the EIN letter and your operating agreement together. See how much an LLC costs.

Can a non-resident form an LLC in Ohio?

Yes. Ohio has no residency or citizenship requirement for an LLC's members or managers. You need a registered agent with a Ohio street address and an EIN; a foreign owner without a Social Security number applies for the EIN on Form SS-4. A single-member LLC owned by a foreign person files Form 5472 with a pro forma Form 1120 every year, even with no US income. See can a non-resident own a US LLC and annual filings for foreign-owned LLCs.

What keeps an Ohio LLC in good standing?

With no annual report, the main risks are losing the statutory agent without appointing a new one and failing to file state and municipal tax returns. The Secretary of State can cancel an LLC that does not maintain a statutory agent, and unfiled tax returns bring their own penalties. Update the agent and address promptly. See reinstating a dissolved LLC.

Which Ohio taxes apply to an LLC?

Owners pay Ohio's state income tax on their share of profit, now at a flat rate, plus any municipal income tax. The state sales tax is 5.75%, plus county taxes; register for a vendor's license with the Ohio Department of Taxation if you sell taxable goods.

If you sell online, see Ohio sales tax for online sellers.

Federally, a Ohio LLC is taxed like any other LLC. See how LLCs are taxed. For a side-by-side view of state costs, see how much an LLC costs.

This guide is general information. It is not tax or legal advice for your situation.