Does North Dakota have a state income tax?

Yes, North Dakota has a personal income tax rate of 0%-1.95% and a corporate tax rate of 1.41%-4.31%.

Do I need an EIN to start a business in North Dakota?

Yes, most businesses need an EIN (Employer Identification Number). It's free from the IRS — apply online at IRS.gov and receive it immediately.

How to Start a Business in North Dakota

Q: How long does it take to form a business in North Dakota?

North Dakota typically processes business filings in 3-5 business days. Online filing is available through the Secretary of State.

Everything you need to form an LLC or Corporation in North Dakota — filing fees, tax rates, and step-by-step instructions.

$135

LLC Filing Fee

$100

Corp Filing Fee

0%-1.95%

Income Tax

3-5

Days to File

Steps to Start a Business in North Dakota

Choose Your Business Structure

Decide between LLC, Corporation, S-Corp, Sole Proprietorship, or Partnership. LLCs are the most popular choice in North Dakota for their simplicity and liability protection.

Choose a Business Name

Your business name must be unique in North Dakota. Search the Secretary of State database to check availability. For LLCs, the name must include 'LLC' or 'Limited Liability Company.'

Appoint a Registered Agent

Every North Dakota business needs a registered agent — a person or service with a physical address in North Dakota who receives legal documents on your behalf.

File with the Secretary of State

File your Articles of Organization (LLC) or Articles of Incorporation (Corp) with the North Dakota Secretary of State. Filing fee: $135 for LLC, $100 for Corp.

Get Your EIN

Apply for a free Employer Identification Number (EIN) from the IRS. Takes minutes online at IRS.gov. You'll need this for taxes, banking, and hiring.

Open a Business Bank Account

Separate your business and personal finances. You'll need your EIN, formation documents, and operating agreement. Holdings makes this easy with integrated banking.

Business Entity Types in North Dakota

LLC

Corporation

Corporation (C-Corp)

Businesses planning to raise venture capital, go public, or have complex ownership structures.

North Dakota filing fee: $100

S-Corp

S Corporation

Small businesses wanting to reduce self-employment tax while keeping pass-through taxation. Must meet IRS eligibility (≤100 shareholders, US citizens/residents only).

Sole Proprietorship

Solo freelancers and contractors. No state filing required but offers no liability protection.

Partnership

General Partnership

Two or more people starting a business together. Consider an LLC instead for liability protection.

Nonprofit

Nonprofit Corporation

Organizations with charitable, educational, or religious missions seeking 501(c)(3) tax-exempt status.

Getting an EIN in North Dakota

An Employer Identification Number (EIN) is a 9-digit number assigned by the IRS to identify your business for tax purposes.

Free

IRS Filing Cost

Instant

Online Application

9 Digits

EIN Format

Apply for EIN at IRS.gov →

North Dakota Business Taxes

Corporate Tax Rate	1.41%-4.31%
Personal Income Tax	0%-1.95%
Annual Report Fee	$50

Official North Dakota Resources

🏛️

Secretary of State

File your business formation documents

📋

IRS EIN Application

Get your free EIN online instantly

Frequently Asked Questions

How much does it cost to start an LLC in North Dakota?

Filing an LLC in North Dakota costs $135 with the Secretary of State. You'll also pay $50 annually for the annual report. Add $50–$300/year if you hire a registered agent service.

How long does it take to form a business in North Dakota?

North Dakota typically processes filings in 3-5 business days. Online filing is available and generally faster.

Do I need a registered agent in North Dakota?

Yes. Every business entity in North Dakota must have a registered agent — a person or service with a physical address in North Dakota who can receive legal and tax documents on your behalf. You can serve as your own registered agent if you have a North Dakota address.

Should I form an LLC or Corporation in North Dakota?

For most small businesses, an LLC is the better choice — simpler management, flexible taxation, and personal liability protection. Choose a Corporation if you plan to raise venture capital or go public. In North Dakota, an LLC costs $135 to file vs $100 for a Corporation.

Start a Business in Other States

Alabama LLC: $200 Alaska LLC: $250 Arizona LLC: $50 Arkansas LLC: $45 California LLC: $70 Colorado LLC: $50

View all 51 states →

Related Resources

NAICSFind Your NAICS Code for Registration GlossaryWhat Is an EIN? (Employer ID Number)GlossaryWhat Is a DBA?FeesCompare Business Bank Accounts

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