LLC taxed as S corp vs S corporation in Oklahoma: which costs less (2026)

At $100,000 profit in Oklahoma, an LLC taxed as an S corp costs $21,242 a year in tax and fees and an S corporation costs $21,223. An S corporation starts to cost less from about $10,000 of profit.

$19 a year

saved by switching from an LLC taxed as an S corp to an S corporation in Oklahoma, at these numbers.

Switching from an LLC taxed as an S corp to an S corporation starts to pay at about $10,000 of profit, with the same settings. As an S corporation this uses the state's pass-through entity tax election, which lowers the cost here.

Oklahoma, 2026: $100,000 profit, single filer

Item	LLC as S corp	S corp	Change
Annual Certificatesos.ok.gov, checked Oct 20, 2026	$25	$0	−$25
Payroll tax on your salaryirs.gov, 2026 rates	$6,537	$6,537	$0
Payroll service and tax return (estimate)	$1,800	$1,800	$0
Oklahoma pass-through entity tax, paid by the company (elected)legalclarity.org, checked Oct 20, 2026	$2,461	$2,463	+$2
Federal income taxirs.gov, 2026 rates	$9,164	$9,168	+$4
State income tax, after the PTET exclusionoklahoma.gov, checked Oct 20, 2026	$1,255	$1,255	$0
Yearly cost	$21,242	$21,223	−$19

What these figures count

State income tax, and state taxes on the business itself: franchise, LLC, S corp, gross receipts and excise taxes.
Social Security and Medicare on both sides of an owner salary, federal unemployment tax and the state's new-employer rate.
The 20% qualified business income deduction with its income limits and the professional-service rule.
Yearly report fees, and a cost you can change for payroll and the business tax return.

Many S corp calculators leave out state taxes and the QBI deduction, which can make the election look better than it is.

Yearly cost at each profit level

Profit	LLC as S corp	S corp	Difference
$30,000	$7,459	$7,437	−$22
$50,000	$11,171	$11,149	−$22
$75,000	$14,588	$14,566	−$22
$100,000	$21,242	$21,223	−$19
$150,000	$35,704	$35,684	−$20
$200,000	$50,965	$50,946	−$19
$300,000	$83,961	$83,943	−$18

Federal and Oklahoma tax and fees, single filer, revenue 1.5 times profit, default salary for S and C corps. "Difference" is S corporation minus LLC taxed as an S corp.

What the switch takes in Oklahoma

File the Certificate of Incorporation with the state: $50 (fee).
Federal return each year: Form 1120-S, due March 15, plus your own Form 1040.
State upkeep each year: no yearly report fee.

What changes between the two

Both are taxed the same way by the IRS once the election is made: salary with payroll tax, the rest as a distribution, one Form 1120-S. The difference is state law: an LLC files Articles of Organization and Annual Certificate, $25 a year, a corporation files Certificate of Incorporation and no yearly report fee.

A corporation also has formalities an LLC skips: a board, bylaws, share records and yearly minutes. Most one-person businesses pick the LLC route for that reason.

Questions

How much does it save at $100,000 in Oklahoma?

$19 a year: LLC taxed as an S corp $21,242, S corporation $21,223.

Is an LLC taxed as an S corp the same as an S corp?

For federal tax, yes. For Oklahoma fees and paperwork, no: the LLC pays Annual Certificate, $25 a year and the corporation no yearly report fee.

More for Oklahoma

Common cases in Oklahoma

Other states