Connecticut LLC vs Pennsylvania LLC (2026)
Written for owners based in Connecticut.
Based in Pennsylvania? Read Pennsylvania LLC vs Connecticut LLC →
Compare Connecticut LLC vs Pennsylvania LLC on filing fees, taxes, privacy laws, and annual costs. Find out which state is actually better for your business.
Last updated: September 23, 2026
Verdict: for most owners, form where the business is based
Pennsylvania's annual report costs $7, the smallest recurring charge among the states that levy one at all, against Connecticut's $80. Forming is $125 against $120. The report itself is new: Act 122 of 2022 replaced the decennial filing with an annual September 30 deadline starting in 2025, so long-established Pennsylvania LLCs that expected a once-a-decade form now have a yearly one, and failing the 2027 report starts administrative dissolution. Pennsylvania also refuses credit cards on ordinary filings. A Connecticut-based owner still adds $120 to register.
Using a formation service? We compare the 4 formation services that pay us a commission, on three-year service cost, BBB rating and Trustpilot score.
Compare LLC formation services →Ready to file? Our affiliate partner ZenBusiness files your LLC formation paperwork, from $0 + state fee.
Start your LLC with ZenBusiness →Affiliate link. We may earn a commission at no cost to you. IncACA is not a law firm and does not provide legal advice.
| Factor | Connecticut | Pennsylvania |
|---|---|---|
| Filing Fee | $120 | $125 |
| Processing Time | Most online filings auto-accepted | 2 to 4 days |
| Annual Report Fee | $80 | $7 |
| Annual Report Due | March 31 | September 30 |
| State Income Tax | Yes | Yes |
| Anonymous LLC | No | No |
| Publication Requirement | No | No |
| Foreign LLC Cost (if forming out-of-state) | N/A, you're in your home state | $120 + registered agent ~$150/yr |
Full fee breakdown for either state: Connecticut LLC cost and Pennsylvania LLC cost.
Business Climate: Connecticut vs Pennsylvania
| Factor | Connecticut | Pennsylvania |
|---|---|---|
| 5-year business survival rate | 51.1% (#25 of 51) | 57.1% (#1 of 51) |
| Business application growth (2026 YTD (Jan to Jul) vs 2025 YTD (same months)) | +15.6% YoY (#34 of 51 by volume) | +6.5% YoY (#12 of 51 by volume) |
Sources: U.S. Bureau of Labor Statistics, Business Employment Dynamics · U.S. Census Bureau, Business Formation Statistics (BFS)
Compare LLC Costs: Connecticut vs Pennsylvania
Connecticut
Pennsylvania
A figure shown as "from" is the least the state can charge, not a price. Tennessee's report is $300 for up to six members and $50 for each member above six, its franchise tax is the greater of $100 or 0.25% of Tennessee net worth, Wyoming's report is the greater of $60 or $.0002 per dollar of in-state assets, Kentucky's entity tax is $175 up to $3 million of gross receipts and graduated above it, and New York's annual filing fee is graduated on New York source gross income. A total that contains one of those is shown as "from" for the same reason. Costs include every mandatory state charge: the filing fee, the report fee (annualised where a state files biennially), any state entity-level tax shown in its own row above, a one-time publication cost where the state publishes a rate for it, and any one-time registration charge a state requires before the LLC may trade. Two exclusions follow from that wording. Arizona and Nebraska require publication and publish no rate, so no newspaper cost is carried for either and their totals are not the whole cost. Alaska's $50 annual state business licence is a separate charge from the Secretary of State fees and is not carried here either. Annualising makes the 1, 3 and 5 year rows a cost of ownership rather than a payment schedule: a biennial state charges its whole report fee in the years it falls due and nothing in between. Entity-level taxes that only apply after a corporate election, or above an owner or income threshold, are excluded and flagged on the state's own cost page. New York's publication cost is carried at a $250 floor, roughly $200 of newspaper cost in a low-cost county plus the $50 Certificate of Publication fee. No county-clerk-designated New York City newspaper publishes a rate card, so the four-figure NYC estimates in wide circulation cannot be traced to a primary source and are not asserted here; budget for materially more than the floor if you file in a NYC county. Every fee was verified against the state's own fee schedule, statute, or revenue authority on 29 July 2026. Excludes registered agent and legal fees. For informational purposes only, not legal or tax advice.
Filing Fees & Formation Costs
Connecticut charges $120 to form an LLC, while Pennsylvania charges $125. Connecticut is $5 cheaper upfront. The cost that usually gets overlooked: if you form in Pennsylvania but operate in Connecticut, you must also register as a foreign LLC in Connecticut (a $120 filing) and maintain a registered agent in Pennsylvania (typically around $150 per year). That puts the realistic first-year cost of the Pennsylvania route at roughly $395, versus $120 for simply forming in Connecticut. Both states publish a standard turnaround, Connecticut (most online filings auto-accepted) and Pennsylvania (2 to 4 days), though a published figure is a norm, not a guarantee.
Taxes: Connecticut vs Pennsylvania
Both Connecticut and Pennsylvania levy a personal income tax on pass-through business income, and your LLC's profits will be taxed where you live and operate. Forming in Pennsylvania doesn't change what a Connecticut-based owner pays. Pennsylvania levies a flat 3.07% personal income tax. Neither state imposes a separate franchise or privilege tax on LLCs beyond standard filing fees.
Privacy & Asset Protection
Neither Connecticut nor Pennsylvania offers anonymous LLC formation: both states require owner or manager information on public filings. Pennsylvania's annual report names at least one governor (a member or manager with management responsibility). Business owners who prioritize privacy typically form a holding company in a state like Wyoming or New Mexico instead. Both states provide charging-order protection for LLC members, and for most small businesses the practical difference in asset protection between the two is minimal.
Annual Maintenance Costs
Connecticut LLCs file an annual report ($80, due March 31), and Pennsylvania LLCs file an annual report ($7, due September 30). If you form in Pennsylvania while operating in Connecticut, you maintain filings in both states, Pennsylvania's report plus Connecticut's equivalent for your foreign registration, and pay a Pennsylvania registered agent roughly $150 per year. Counting report fees, the agent and any entity-level tax, that brings the Pennsylvania route to roughly $237 a year, versus about $80 to keep a domestic Connecticut LLC in good standing.
When Pennsylvania Actually Makes Sense
Forming in Pennsylvania makes sense in a few specific situations: your business genuinely operates in Pennsylvania, with a real office, employees, or property there, or you're relocating to Pennsylvania in the near future. For a typical small business based in Connecticut, none of these usually apply. Registering a Pennsylvania LLC to do business back home means $120 in Connecticut foreign-registration fees, on top of Pennsylvania's $125 formation fee, while Connecticut's own annual report runs $80 a year and is due March 31. When in doubt, form where you actually do business.
Frequently Asked Questions
Ready to form your LLC?
Using a formation service? We compare the 4 formation services that pay us a commission, on three-year service cost, BBB rating and Trustpilot score.
Compare LLC formation services →Our affiliate partner ZenBusiness files your LLC formation paperwork, from $0 + state fee.
Start your LLC with ZenBusiness →Affiliate link. We may earn a commission at no cost to you. IncACA is not a law firm and does not provide legal advice.
More State Comparisons
Embed this comparison, free
Add the Connecticut vs Pennsylvania cost calculator to any page. Works in WordPress, Squarespace, Webflow, and any HTML site.
<iframe src="https://www.incaca.com/tools/compare-states?embed=1&stateA=CT&stateB=PA" width="100%" height="720" frameborder="0" style="border:0;max-width:900px;display:block;margin:0 auto;" title="Connecticut vs Pennsylvania LLC Cost Comparison" loading="lazy"></iframe> <p style="text-align:center;font-size:.8125rem;color:#6b7280">Source: <a href="https://www.incaca.com/llc/compare/connecticut-llc-vs-pennsylvania-llc">IncACA, Connecticut vs Pennsylvania LLC Comparison</a></p>