How to Start an LLC in South Dakota (2026)

Q: How much does it cost to start an LLC in South Dakota?

The Articles of Organization cost $150 filed online with the South Dakota Secretary of State, or $165 on paper because the state adds a paper filing fee. Your EIN is free from the IRS. The annual report is $55 online or $70 on paper, due each year on the first day of your anniversary month.

Q: When is the South Dakota annual report due?

On the first day of your anniversary month, starting the year after you form. If your entity was filed on June 11, 2026, the first annual report is due June 1, 2027 and every June 1 after that. Filing late adds a $55 delinquency penalty on top of the $55 fee.

Q: Does South Dakota have a state income tax on LLCs?

No. South Dakota has no personal or corporate state income tax, so a standard pass-through LLC does not face a state income tax bill on its profit. That makes the filing fees close to the entire state-level cost of running the company, though federal self-employment tax still applies.

Q: Is it worth filing on paper in South Dakota?

No. South Dakota adds a paper filing fee to every submission, so the Articles cost $165 instead of $150 and the annual report costs $70 instead of $55. Online filing is cheaper, faster, and confirms immediately.

Last updated: August 28, 2026

To start a South Dakota LLC, file the Articles of Organization online with the South Dakota Secretary of State for $150 ($165 on paper), name a registered agent with a South Dakota address, and get a free EIN. The annual report is $55 online ($70 on paper) and is due on the first day of your anniversary month each year, starting the year after you form.

Quick note: we're operators, not attorneys or accountants. This is general educational info, not legal or tax advice. South Dakota has no personal or corporate state income tax, so the filing fees are essentially the whole state cost.

South Dakota is a clean, simple state with no income tax and a predictable anniversary-based deadline. The fees sit in the middle of the pack, and paper filing costs $15 more at every step. Here is the whole process in plain English, written for people starting something real like a courier route.

Paper costs $15 more, every single time South Dakota adds a paper filing fee to every submission. The Articles of Organization are $150 online and $165 on paper, and the annual report is $55 online and $70 on paper. There is no upside to paper unless you have no other option. Also worth knowing: a delinquent annual report brings a $55 penalty, effectively doubling the cost of forgetting.

How to start a South Dakota LLC in 6 steps

Name it, appoint a South Dakota registered agent, file the Articles online ($150), write an operating agreement, get a free EIN, then file the $55 annual report on the first day of your anniversary month.

Name your South Dakota LLC

The name must be distinguishable from other South Dakota entities and include an LLC designator. Check it through the Secretary of State business services before you file, and grab the matching domain while you are there.

Appoint a South Dakota registered agent

You need a registered agent with a physical South Dakota street address available during business hours. You can be your own if you live in the state, or use a service to keep your home address off the public record. Northwest includes agent service free the first year with their $39 filing.

File the Articles of Organization

File the Articles of Organization with the South Dakota Secretary of State. It is $150 filed online or $165 on paper. Online filing is available for domestic LLCs and takes Visa, MasterCard, American Express and Discover.

Write an operating agreement

South Dakota does not require one, but write it anyway. It sets out ownership, management, and who can sign, it backs your liability protection, and banks usually ask for it at account opening. A simple template covers a single-owner courier business.

Get a free EIN from the IRS

Your EIN is free at irs.gov and takes about ten minutes. You need it for the business bank account, contracts, and hiring. Never pay a third-party site for one.

File the $55 annual report on your anniversary

The annual report is due on the first day of your anniversary month, starting the year after formation. File an entity on June 11, 2026 and the first report is due June 1, 2027, then every June 1. It is $55 online or $70 on paper, and a delinquent report adds a $55 penalty.

South Dakota LLC cost breakdown

$150 online to form and $55 a year. With no state income tax, that is close to the whole state-level cost.

Item	Cost	Required?
Articles of Organization (online)	$150	Yes
Articles of Organization (paper)	$165	Alternative
EIN	Free from the IRS	Yes (free)
Registered agent service	$0 (yourself) to $300/yr	No
Annual report (online)	$55 per year	Yes
Annual report (paper)	$70 per year	Alternative
Delinquent annual report penalty	+$55	If late

South Dakota figures as of August 2026, from the Secretary of State filing fees page. Confirm before filing.

Rather have it filed for you? Northwest will form your South Dakota LLC for $39 + the $150 state fee and act as your registered agent the first year, keeping your home address off the public record. See the $39 formation service → Affiliate link. We may earn a commission at no extra cost to you.

Setting up to run courier routes in South Dakota?

The LLC is step one. Our course covers the rest: insurance and certifications, the business bank account, and how to find routes and win contracts with South Dakota clinics, labs, and hospitals.

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South Dakota LLC FAQs

How much does it cost to start an LLC in South Dakota?

The Articles cost $150 online or $165 on paper, and your EIN is free. The annual report is $55 online each year.

When is the South Dakota annual report due?

The first day of your anniversary month, starting the year after formation. A June 2026 filing means a June 1, 2027 report, then every June 1.

Does South Dakota have a state income tax on LLCs?

No. South Dakota has no personal or corporate income tax, so the filing fees are close to the whole state cost. Federal self-employment tax still applies.

Is it worth filing on paper in South Dakota?

No. Paper adds $15 to every filing, so the Articles are $165 and the annual report $70. Online is cheaper and faster.

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