What an LLC costs in District of Columbia (2026)

Forming an LLC in District of Columbia costs $99. After that the state charges Biennial Report, $300 every two years, and LLCs owe DC unincorporated business franchise tax.

Cost	Amount	When
Articles of Organization (Form DLC-1)	$99	Once, to form	dlcp.dc.gov
Biennial Report	Biennial Report, $300 every two years	April 1 every second year, first due April 1 of the year after formation	dlcp.dc.gov
DC unincorporated business franchise tax	$5,363 at $150,000 revenue	Yearly	otr.cfo.dc.gov

LLC taxes in District of Columbia by revenue

Revenue	DC unincorporated business franchise tax	Total with report fee
$50,000	$1,513	$1,663
$150,000	$5,363	$5,513
$500,000	$18,838	$18,988
$1,000,000	$38,088	$38,238
$3,000,000	$115,088	$115,238

Profit taken as two thirds of revenue where a tax is on net income.

DC unincorporated business franchise tax: Form D-30. Owner salary allowance is a reasonable amount capped at 30% of net income (base_factor 0.7 assumes the full 30%), then a $5,000 exemption. Not due if gross income is $12,000 or less (file D-30N). Minimum $1,000 if DC gross receipts exceed $1M. Businesses where over 80% of gross income is owners' personal services and capital is not material are exempt.

What else an LLC owner pays

The fees above are what the state charges the LLC. The bigger cost is tax on the profit: a single-member LLC pays the same income tax and self-employment tax as a sole proprietor. At $100,000 of profit that comes to $30,693 a year in District of Columbia, fees included. An S corp election can lower it: LLC vs S corp in District of Columbia.

Biennial report is $300 every two years. Late fee $100. Filed with DLCP, not a Secretary of State.

Questions

How much does it cost to start an LLC in District of Columbia?

$99 to file the Articles of Organization (Form DLC-1).

How much does an LLC cost per year in District of Columbia?

Biennial Report, $300 every two years, plus DC unincorporated business franchise tax: $5,363 for a business with $150,000 of revenue and $100,000 of profit.

When is the District of Columbia LLC report due?

April 1 every second year, first due April 1 of the year after formation.

Does an LLC pay District of Columbia income tax?

Not by itself, in most cases: a single-member LLC's profit is taxed on the owner's return. District of Columbia taxes personal income in 7 brackets, from 4% to 10.75% (2026, single filer).

Other states