Delaware LLC Annual Fees 2026: The $300 to $400 Shift

Almost every page answering this question is currently wrong, in one of two directions.

Half still say $300. The other half, having spotted the change, say it is $400 now. Neither is right for 2026.

The short answer

The increase is real. It comes from House Bill 400, signed 21 May 2026, which raised the LLC annual tax from $300 to $400.

The catch is the timing. It applies from tax year 2026, and Delaware bills a tax year in the following June. So the payment you made on 1 June 2026 was for tax year 2025, at the old $300. The first $400 bill lands on 1 June 2027.

If you formed an LLC in 2026 and someone told you to budget $400 for your first June payment, they are a year early. If someone told you it stays $300 forever, they are a year behind.

What you pay once

Delaware formation is genuinely cheap at the state level:

• $110 for the Certificate of Formation, paid to the Division of Corporations
• Expedited processing available at additional cost, rarely necessary
• No minimum capital
• No requirement to be a US resident or citizen

What is not optional, and not a state fee:

• A registered agent with a Delaware street address. You cannot use a PO box, and if you are not in Delaware you cannot be your own agent in practice.

What you pay every year

The recurring bill is short, which is the main attraction of a Delaware LLC.

The tax is flat. It does not scale with revenue, profit, members, or capital. A dormant LLC with no bank account pays exactly what a profitable one pays. This is a feature if you are profitable and a nuisance if you are not.

The registered agent range is the line worth attacking. A six-fold spread between the cheapest and most expensive providers for what is, at base, an identical statutory service. Renewal pricing often differs sharply from first-year pricing.

The deadline, and what happens if you miss it

1 June, every year. No extensions.

Miss it and the state applies:

1. A $200 penalty, immediately
2. 1.5% interest per month on the unpaid balance, tax and penalty

The compounding is the part to take seriously. A missed $400 payment is $600 before interest, and interest runs monthly until settled.

And then it escalates beyond money. An LLC that stays delinquent loses its good standing. That means:

• You cannot obtain a Certificate of Good Standing, which banks and counterparties routinely ask for
• Eventually the LLC's charter can be voided
• Reinstatement costs more than staying current ever would have

21 May 2026House Bill 400 signed: annual tax raised from $300 to $400, from tax year 2026

1 Jun 2026Payment due for tax year 2025, still at the old $300

1 Jun 2027First payment at $400, covering tax year 2026

1. 21 May 2026House Bill 400 signed: annual tax raised from $300 to $400, from tax year 2026
2. 1 Jun 2026Payment due for tax year 2025, still at the old $300
3. 1 Jun 2027First payment at $400, covering tax year 2026

What a Delaware LLC does not pay

This is the half of the picture that gets left out, and it is why "Delaware is cheap" can be misleading.

Not paid at the state level:

• No Delaware corporate income tax, if you do not operate in Delaware
• No annual report fee
• No franchise tax calculated on shares. That is a corporation problem, not an LLC one

But almost certainly paid elsewhere:

• Federal filings. A single-member LLC owned by a non-resident generally has federal obligations including Form 5472 with a pro forma 1120, with a substantial penalty for non-filing
• Your home jurisdiction. A Delaware LLC does not change where you are tax resident
• Foreign qualification, if you actually operate in another US state. That state will want registration and its own annual fees

The state-level number is $400 and a registered agent. The real annual cost of compliance for a non-resident owner is a different figure, and it is worth seeing what the full picture looks like before formation.

LLC or corporation, on cost alone

Founders often assume the corporation is the expensive one. On the annual tax, that is correct, but not for the reason most expect.

The corporation's minimum is lower than the LLC's flat tax. Its maximum is not. A startup that authorises ten million shares without thinking about the calculation method can receive a five-figure tax notice.

For most non-resident founders who are not raising venture capital, the LLC's flat and predictable $400 is the safer shape.

The summary