1. What is a Connecticut LLC?
A Connecticut Limited Liability Company (LLC) is a legal business entity that protects owners’ personal assets from business liabilities. It offers operational flexibility, pass-through taxation, and credibility with banks, clients, and government agencies. Connecticut LLCs can be owned by one or multiple members and managed by members or appointed managers.
2. Why Form an LLC in Connecticut?
Connecticut is known for its strong legal framework, access to major US markets, and well-established financial infrastructure. Many entrepreneurs choose Connecticut for its balance of regulation and stability.
Key Advantages
- Limited liability protection for owners
- Pass-through taxation by default
- Credibility with banks and investors
- No residency requirement for owners
- Clear annual compliance structure
3. Legal Structure of Connecticut LLCs
Connecticut LLCs are formed under state law once the Certificate of Organization is filed with the Connecticut Secretary of State.
Legal Highlights
- Members are not personally liable for company debts
- Operating Agreement is recommended but not mandatory
- Single-member and multi-member LLCs allowed
- Foreign and non-US owners are permitted
- LLCs are recognized across all US states
4. Choosing a Name for Your Connecticut LLC
Your LLC name must comply with Connecticut naming rules before registration.
- Name must include “LLC” or “Limited Liability Company”
- Must be unique within Connecticut business records
- Restricted words may require state approval
- Name reservation is optional
- Trade names (DBA) can be registered separately
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Start Connecticut LLC Formation5. Registered Agent Requirements
Every Connecticut LLC must appoint a Registered Agent with a physical Connecticut address to receive legal documents and official state notices.
Eligible Registered Agents
- Connecticut resident (18+ years old)
- Authorized registered agent service
Why Use a Professional Agent?
- Privacy protection for owners
- Timely compliance reminders
- Reliable handling of legal documents
| Feature | FormLLC | Provider A | Provider B |
|---|---|---|---|
| Built for non-US founders | ✅ Deep non-resident focus | ➖ Limited support | ➖ Generic templates |
| End-to-end guidance (LLC → EIN → BOI → Tax) | ✅ Included / add-ons | ➖ Partial | ➖ Formation only |
| Transparent pricing | ✅ No surprise upsells | ⚠️ Hidden add-ons | ⚠️ Tiered upsells |
| Human support (WhatsApp / email) | ✅ Dedicated support | ➖ Ticket-based | ➖ Slow response |
*Sample stats for illustration. Add your real numbers and link to verified reviews.
Always look beyond just the “formation price”. The real cost includes annual reports, registered agent renewals, tax filings, and mistake-correction. A slightly higher, more complete package can save thousands of dollars (and a lot of stress) later.
6. How to Register an LLC in Connecticut
Step 1: Appoint a Registered Agent
Before filing your LLC, you must appoint a registered agent in Connecticut. The agent must have a physical street address in Connecticut and be available during normal business hours to receive legal and state documents.
The registered agent can be an individual Connecticut resident or a professional registered agent service.
Step 2: File the Certificate of Organization
To officially form your LLC, file the Certificate of Organization with the Connecticut Secretary of State . This can be done online or by mail.
State filing fee: $120
Step 3: Create an Operating Agreement
Connecticut does not legally require an Operating Agreement, but having one is strongly recommended. This internal document defines ownership percentages, management structure, voting rights, and profit distribution.
Banks, investors, and payment processors often request an Operating Agreement even though it is not filed with the state.
Step 4: Obtain an EIN
An Employer Identification Number (EIN) is issued by the IRS and is required if your LLC has multiple members, hires employees, or opens a U.S. business bank account.
You can apply for an EIN for free directly from the IRS: Apply for an EIN . Non-US founders can apply without a Social Security Number.
Step 5: Register for Connecticut State Taxes (If Applicable)
Depending on your business activities, you may need to register with the Connecticut Department of Revenue Services (DRS) for sales tax, employer withholding tax, or other state taxes.
Step 6: File the Connecticut Annual Report
Connecticut LLCs must file an annual report to remain in good standing. The report updates basic business information and must be filed every year.
Annual report fee: $80
Step 7: Open a Business Bank Account
After completing Connecticut LLC registration, opening a dedicated business bank account is essential to separate personal and business finances and preserve limited liability protection.
A business bank account also improves credibility with clients, vendors, and payment processors.
Most U.S. banks will require:
- Approved Certificate of Organization issued by the Connecticut Secretary of State
- Your LLC Operating Agreement
- Employer Identification Number (EIN)
- Valid government-issued photo ID of the owner or authorized manager
Many Connecticut LLC owners open their business bank account immediately after receiving their EIN to avoid delays with invoicing or payment processing.
7. Ongoing Compliance Tips
- File annual reports with the state
- Maintain an active registered agent
- Keep financial and legal records updated
8. Connecticut LLC Fees & Costs
Connecticut offers a stable and transparent environment for forming an LLC. While the initial filing cost is higher than some states, the state maintains clear annual compliance requirements, making long-term costs predictable for business owners.
| Filing or Service | When Due | State Fee |
|---|---|---|
| Certificate of Organization | At formation | $120 |
| Name Reservation (optional) | Before formation | $60 |
| Annual Report | Annually | $80 |
| Registered Agent Service (optional) | Ongoing | $50–$300 per year |
| Employer Identification Number (EIN) | After formation | Free |
The Certificate of Organization filing fee is paid to the Connecticut Secretary of State . Name reservations are optional and filed separately.
Depending on your business activities, you may also need to register for state taxes with the Connecticut Department of Revenue Services (DRS) , such as sales and use tax or employer withholding tax.
9. Federal Requirements
1. Employer Identification Number (EIN)
Most businesses formed through Connecticut LLC registration must obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). The EIN acts as your LLC’s federal tax ID and is required to open a U.S. business bank account, hire employees, work with payment processors, and file federal tax returns.
You can apply for an EIN directly with the IRS: IRS EIN Application . Non-U.S. founders can apply without a Social Security Number.
2. Federal Tax Classification
By default, Connecticut LLCs are treated as pass-through entities for federal tax purposes. This means the LLC itself does not pay federal income tax; instead, profits and losses pass through to the owners’ personal tax returns.
- Single-member LLC: Income is typically reported on Schedule C (Form 1040) .
- Multi-member LLC: Files an informational return using IRS Form 1065 .
- S Corporation election (optional): Eligible Connecticut LLCs may elect S-Corp tax treatment by filing IRS Form 2553 to potentially reduce self-employment taxes.
Foreign-owned Connecticut LLCs may have additional federal filing requirements, such as IRS Form 5472 and Form 1120, even if no U.S. income is generated. Many owners consult a qualified tax professional to ensure full compliance.
10. Conclusion
Connecticut LLC formation offers legal protection, credibility, and access to major US markets. With clear compliance rules and a stable business environment, it remains a strong choice for entrepreneurs.
FormLLC simplifies the process — ensuring accuracy, compliance, and long-term peace of mind.
11. Frequently Asked Questions
The state filing fee to form a Connecticut LLC is $120, paid when submitting the Certificate of Organization. In addition, Connecticut requires an $80 annual report fee to keep the LLC in good standing.
Online filings are typically processed within 1–3 business days. Mail filings may take longer depending on state processing times.
Yes. Every Connecticut LLC must appoint and maintain a registered agent with a physical street address in Connecticut to receive legal and government documents.
Connecticut does not legally require an Operating Agreement, but having one is strongly recommended to define ownership, management structure, and member rights.
Yes. Non-US residents and foreign nationals can form and own a Connecticut LLC. There is no residency or citizenship requirement for LLC owners.
An EIN is required if your LLC has multiple members, hires employees, or opens a US business bank account. Most LLCs obtain an EIN shortly after formation.
Connecticut LLCs must file an annual report every year to remain active. Failure to file the report may result in penalties or administrative dissolution.
