Massachusetts LLC Cost (2026): $500 to Form and $500 Every Year
Massachusetts is one of the most expensive states to run an LLC in, and the reason is simple: it charges the same $500 every year that it charges to form. Online filing adds $20 each time. There is no franchise tax on top, and the rest of the rules are straightforward, but the recurring fee is the number to budget for.
The $500 Certificate of Organization
A Massachusetts LLC is formed by filing a Certificate of Organization with the Corporations Division of the Secretary of the Commonwealth. The fee is $500 by mail or $520 online. The certificate lists the LLC’s name, office address, business purpose, the resident agent, and at least one manager or person authorized to sign documents.
Massachusetts puts the names of managers and authorized signers on the public record. A registered agent service replaces your address for the resident agent, but the named people still appear.
Northwest Registered Agent
Massachusetts lists your resident agent address publicly on every filing. $39 formation + state fee, free registered agent for year one, then $125/yr.
$39 formation fee · Free registered agent for 12 months · Your address stays off public records · No data selling · No hidden fees
Form Your LLC with Northwest ($39) →Lowest 3-year cost we found: Northwest $289 vs Bizee $298 vs ZenBusiness $497 (service fees; state fees extra). Northwest also puts its address on your public filings instead of yours where the state allows.
The $500 Annual Report on Your Anniversary
Every Massachusetts LLC files an annual report each year on or before the anniversary date of its formation. The fee is $500 by mail or $520 online. An LLC formed on June 10, 2026 files its first report by June 10, 2027. Statements of change, for example to update your resident agent, can be filed online without a fee.
Two Missed Years and the $100 Reinstatement
Massachusetts does not charge a dollar penalty for filing the annual report late. Instead, an LLC that fails to file for two consecutive years can be administratively dissolved by the Secretary of the Commonwealth. Reinstatement costs $100, but you also have to file every missed annual report, so a two-year lapse costs at least $1,100 by mail to fix.
Massachusetts Income Tax and the 4% Surtax
- Pass-through income: by default an LLC’s profit flows to the owners, who pay Massachusetts’ 5% personal income tax.
- Surtax: since 2023, an additional 4% applies to taxable income above roughly $1 million (the threshold is indexed for inflation each year).
- No LLC franchise tax: the corporate excise applies to corporations and LLCs that elect corporate taxation, not to default pass-through LLCs.
Massachusetts 3-Year Cost
| Scenario | Year 1 | Year 2 | Year 3 | 3-Year Total |
|---|---|---|---|---|
| Northwest Registered Agent | $559 ($520 online filing + $39, RA free) | $645 ($520 annual report + $125 RA) | $645 (same) | $1,849 |
| ZenBusiness (Starter) | $619 ($520 + $0 + $99 RA) | $719 ($520 + $199 RA) | $719 (same) | $2,057 |
| DIY, self as registered agent | $520 (Certificate of Organization, online) | $520 (annual report, online) | $520 (annual report, online) | $1,560 |
The table uses online filing at $520. Filing by mail saves $20 per filing, or $60 over three years. With Northwest Registered Agent the extra $289 over three years is registered agent service, and the reminders matter more here because missed reports stack up at $500 each.
Form your Massachusetts LLC for $39 + $500 state fee.
Northwest Registered Agent: $39 formation, free Year 1 registered agent, compliance reminders, and your home address kept off public records.
Form My Massachusetts LLC for $39
Prefer a $0 upfront starter plan? Compare ZenBusiness (registered agent $199/yr).
When a Massachusetts LLC may not be worth it yet: at $500 a year, a business earning a few thousand dollars spends a large share of its profit on state fees. If liability risk is low, a sole proprietorship can make sense until revenue grows.
Why I Choose Northwest Registered Agent
After forming 3 LLCs myself and helping clients through the process, I keep coming back to Northwest Registered Agent. Here is why:
- Remarkable Customer Support: Quick, human responses every time.
- Caring & Privacy-Focused: Genuine service with full respect for your privacy.
- Lightning-Fast Formation: Often faster than promised.
- Incredible Value: $39 includes a free business address, mail scanning, and more.
- Clear & Transparent: No hidden fees or surprises.
Ready to form your business? Choose Northwest today!
Frequently Asked Questions
How much does it cost to form an LLC in Massachusetts?
$500 by mail or $520 online for the Certificate of Organization. With Northwest Registered Agent and online filing, the first-year total is $559 including a free first year of registered agent service.
How much is the Massachusetts LLC annual report?
$500 by mail or $520 online, due each year on the anniversary date of formation.
What happens if I miss the Massachusetts annual report?
There is no dollar late fee, but two consecutive missed years can lead to administrative dissolution. Reinstatement costs $100 plus all missed annual reports.
Why is Massachusetts so expensive for LLCs?
Its annual report fee equals the formation fee, $500 by mail, so the recurring cost is higher than in almost any other state.
