2025 fees Alabama Secretary of State Rank #40 of 51

LLC Costs in Alabama (AL)

$425 all-in for your first year - $200 to file, $100 annual report, plus a registered agent. Alabama is $42 (11%) more expensive than the national average for first-year LLC costs.

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Annual privilege tax minimum is $100 for most LLCs. Tax is based on net worth. Alabama is one of few states with a net-worth-based LLC tax.

Updated 2025 · Source: Alabama Secretary of State

Higher Articles filing fee

Higher Articles filing fee. $200 one-time SOS filing sits in the top third of Articles/formation fees nationwide.Forming an LLC in Alabama costs about $425 in the first year, top-third of the 51-row book, about 11% above the national average, ranking #40 of 51. Fees are those published by the Alabama Secretary of State; registered agent is a $125/yr market-rate line, not a vendor quote.

According to the Alabama Secretary of State fee schedule; registered agent normalized at $125/yr. See methodology. How we calculate →

$200
One-time filing fee
$100 /yr
Annual report
$425
First-year total
#40 of 51
Cost rank (1 = cheapest)

Published SOS fee schedule

Fee strip AL · Alabama SOS FY 2026 · rank #40

Alabama · $425 · file $200 · no pub

  • AGENT $200
  • PROC $100
  • VS-AVG $425
  • ARTICLES #40/51
  • BIENNIAL near Texas
  • SCHEDULE 11% above avg

Dear-third stack: stamps derive from this state's Secretary of State fee schedule, not a recommendation of where to form. Read with tax planning against a dear SOS stack → · All 51 SOS fee rows →

1. Maine$3852. Florida$3893. Nebraska$4014. Alabama$4255. Texas$4256. North Carolina$450
First-year SOS-fee total for Alabama and nearest-cost peers. Source: each Secretary of State + 51-row aggregate.

How the dear-third $425 stack breaks down

How your $425 first-year total breaks down State filing fee drives 47% of a top-third first-year total.
  • State filing fee $200
  • Annual Privilege Tax (yr 1) $100
  • Registered agent $125
Cost Item Amount
State Filing Fee $200
Annual Privilege Tax $100
Registered Agent $125/yr
Expedited Filing (optional) $100
Total, First Year $425

Ongoing tax burden after formation

Alabama's effective property tax rate of 0.38% ranks among the lowest nationally (#2 of 51 lowest), a bigger long-run factor than the $425 formation cost above for any LLC that owns real estate.

Corporate income tax
6.5%
6.5% corporate tax rate, #29 of 51 lowest nationally
Effective property tax rate
0.38%
Of assessed property value, per year

Sources: Tax Foundation state corporate tax rates, Census ACS effective property tax rates.

Fee check: Dear-third first-year stack, verify current Alabama SOS fees before filing at https://sos.alabama.gov. Not legal or tax advice.

Alabama SOS fee strip (high filing)

Filing Fee $200
Annual Report $100 /yr
Processing Time 2-3 weeks
Expedited $100 → 24-48 hours
Online Filing Available
First-Year Total $425
File with Alabama SOS

Lower-cost escapes

Jurisdictions with a lower first-year SOS-fee total than dear-third AL:

Sources used on this page
  • Alabama Secretary of State - LLC filing fee, annual-report requirement, and processing time. sos.alabama.gov
  • Federation of Tax Administrators - cross-check of state fee and tax figures. taxadmin.org
LLC fees and requirements sourced from the Alabama Secretary of State. See our methodology for details.

Verify with the Alabama Secretary of State →