Cost to Form Corporation in Illinois 2026: $150-$500 Guide

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Cost to Form Corporation in Illinois

Quick Answer

The total cost to form a Corporation in Illinois ranges from $150 for a DIY filing to $300-500 when using a formation service, with the state filing fee being $150 as of April 2026.

Total Cost: Year One

Cost CategoryDIY FilingWith Service
Illinois State Filing Fee$150$150
Formation Service Fee$0$150-350
Registered Agent (optional if DIY)$0-150Included
EIN ApplicationFree (IRS)$0-100
Corporate Kit$0-50Often included
Total Year 1$150-350$300-600

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Government Filing Fees

Fee TypeAmountNotes
Articles of Incorporation Filing$150Mandatory state fee to Illinois Secretary of State
Expedited ProcessingNot specifiedContact Secretary of State for current expedited options
Name Reservation (optional)Contact SOSIf you want to reserve your corporate name before filing

As of April 2026, Illinois charges a flat $150 fee for filing Articles of Incorporation. The processing time is typically 5-10 business days for standard filings. All corporations must file with the Illinois Secretary of State at https://www.ilsos.gov/departments/business_services/.

Optional Costs

While the state only requires the $150 filing fee, most new corporations incur additional costs:

Registered Agent Service: $100-300/year Illinois requires all corporations to maintain a registered agent with an Illinois address. You can serve as your own registered agent for free, or hire a service for $100-300 annually.

Federal EIN Application: Free The IRS provides Employer Identification Numbers at no cost directly through their website. Third-party services may charge $50-200 for this free service.

Corporate Kit: $30-150 Includes corporate seal, stock certificates, and bylaws templates. Not legally required but helpful for record-keeping.

Business Licenses: Varies Depending on your business type and location, additional city, county, or state licenses may be required.

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Annual Ongoing Costs

Illinois corporations face these recurring costs:

Annual Report: $75 Due annually to maintain good standing with the state. This fee has remained consistent in recent years.

State Income Tax: 4.95% flat rate Illinois imposes a flat 4.95% corporate income tax on net income. Unlike some states, Illinois does not have a franchise tax.

Registered Agent Renewal: $100-300/year If using a service, this fee continues annually.

Federal Tax Obligations Corporate tax returns (Form 1120) and potential quarterly estimated tax payments to the IRS.

DIY vs. Formation Service Comparison

DIY Filing ($150 total):

  • File Articles of Incorporation directly with Illinois Secretary of State
  • Obtain EIN directly from IRS (free)
  • Serve as your own registered agent
  • Create bylaws using free templates
  • Total time: 2-4 hours of research and paperwork

Formation Service ($300-600 total):

  • Service handles all state filings
  • Registered agent service typically included for first year
  • Professional preparation of corporate documents
  • Customer support throughout process
  • Total time: 15-30 minutes to provide information

The main advantage of DIY is cost savings. Formation services provide convenience and ensure proper filing, which can be valuable for first-time business owners unfamiliar with corporate requirements.

Cheapest States Comparison

StateFormation FeeAnnual FeeYear 1 Total (DIY)
Wyoming$100$50$150
Nevada$75$150$225
Delaware$89$175$264
Colorado$50$10$60
Illinois$150$75$225

Illinois ranks in the middle for corporate formation costs. While not the cheapest option, Illinois offers advantages as a major Midwestern business hub with straightforward formation processes. The state’s business-friendly environment and central location often outweigh the moderate filing fees for many entrepreneurs.

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FAQ

How long does it take to form a corporation in Illinois?

Standard processing time is 5-10 business days as of April 2026. The Illinois Secretary of State may offer expedited processing for an additional fee - contact their office for current expedited options and pricing.

Can I serve as my own registered agent in Illinois?

Yes, you can serve as your own registered agent if you have an Illinois address and are available during business hours to receive legal documents. Many business owners choose professional registered agent services for privacy and reliability.

What’s included in the $150 Illinois filing fee?

The $150 fee covers filing your Articles of Incorporation with the Illinois Secretary of State. This creates your corporation legally but doesn’t include federal EIN registration, registered agent service, or corporate documents like bylaws.

Do I need to publish my corporation formation in Illinois?

No, Illinois does not require publication of corporate formation in newspapers, unlike some states. This saves corporations the $500-2000 publication costs required in states like New York.

What happens if I don’t file the annual report?

Failure to file the annual report and pay the $75 fee can result in your corporation being dissolved by the state. Illinois typically provides notice before dissolution, but maintaining compliance is essential for good standing.

Is there a franchise tax for Illinois corporations?

No, Illinois does not impose a franchise tax on corporations. However, corporations are subject to the 4.95% flat corporate income tax on net income earned in the state.

Can I change my corporation name after filing?

Yes, but it requires filing an Amendment to Articles of Incorporation with the Illinois Secretary of State and paying additional fees. It’s better to choose your name carefully during initial formation.

Do I need an attorney to form a corporation in Illinois?

While not legally required, consulting an attorney can be valuable for complex business structures or specific legal questions. Many straightforward incorporations can be completed without legal assistance using the Secretary of State’s standard forms.


This information is for educational purposes only and should not be considered legal or tax advice. Consult with an attorney or accountant for guidance specific to your business situation. Data current as of April 2026.