Montana LLC Annual Report and Franchise Tax (2026)

Fact-checked by the LegalGlass editorial team against primary sources · Published Aug 6, 2026 · Last updated Aug 6, 2026

A Montana LLC files an annual report with the Secretary of State by April 15 each year for a $20 fee, submitted online. Montana has no franchise tax and no general sales tax, so the annual report is the main recurring state filing for an LLC. Missing it triggers a late fee and, if left unresolved, involuntary dissolution of the LLC.

Quick Answer

Filing
Annual report to the Montana Secretary of State
Due date
April 15 each year
Fee
$20 (filed online)
Franchise tax
None - Montana imposes no franchise/privilege tax on LLCs
Sales tax
None - Montana has no general statewide sales tax
If you miss it
Late fee, then involuntary dissolution

Montana Annual Report and the Franchise Tax Question

Every LLC registered in Montana must file an annual report with the Montana Secretary of State. This is a short filing that keeps the state's records current; it is not a tax return. A common point of confusion is "Montana LLC franchise tax" - but Montana does not impose a franchise or privilege tax on LLCs, unlike states such as Texas, California, or Delaware.

So the recurring obligation for a Montana LLC is the annual report, not a franchise tax. Montana also has no general statewide sales tax, which further reduces the routine filing burden compared with most states. Income is still taxed - through pass-through income taxation to members - but there is no separate entity-level franchise levy.

This page explains the annual report: who files, when, the fee, how to file, and what happens if you miss it, plus how Montana's tax landscape fits in. For the formation steps, see how to form an LLC in Montana, and for the national picture, the business tax hub.

Who Files and When

All active Montana LLCs - domestic and foreign - must file the annual report each year to remain in good standing, as must corporations and nonprofits. The report is due by April 15. The filing window opens at the start of the year, so you can file well before the deadline; the state generally sends a reminder, but the obligation to file is yours regardless.

The first annual report is generally due in the year after the year you formed the LLC. So an LLC formed in one year files its first annual report by April 15 of the following year, and every April 15 thereafter. Mark the date each year, because Montana does not extend it for most filers.

Filing on time keeps your LLC active and preserves the liability protection that depends on good standing. If ownership, address, or registered agent details changed during the year, the annual report is where you confirm or update them. See Montana business entity search to check your status.

Fee and How to File Online

The annual report fee is $20 when filed online by the deadline. Montana handles annual reports through the Secretary of State's online business portal at biz.sosmt.gov. You log in, locate your LLC, review the pre-filled information, make any corrections, and pay by card.

The online process is quick - usually a few minutes - and gives immediate confirmation. Because Montana emphasizes online filing, plan to file digitally rather than by paper. Keep the confirmation for your records; it is your proof the report was filed on time.

Confirm the current $20 amount on the Secretary of State site before filing, since fee schedules can change. There is no franchise tax to calculate and no revenue figure to report - the annual report is an informational filing, which is why the fee is a flat amount rather than a tax based on income. See Montana LLC cost for all fees.

Late Filing, Penalties, and Dissolution

Missing the April 15 deadline has escalating consequences. Montana first charges a late fee in addition to the $20 report fee if you file after the due date. The LLC also falls out of good standing, which can complicate loans, contracts, and foreign registration in other states.

If the report remains unfiled, the Secretary of State can involuntarily dissolve (administratively terminate) the LLC. A dissolved LLC loses its active status and the legal protections tied to it. To return to good standing, you generally must file the delinquent report, pay the fees, and, if the entity was dissolved, file for reinstatement with an additional fee.

Reinstatement is more expensive and time-consuming than simply filing on time, and a lapse can create a gap in your liability shield. The practical lesson is to calendar April 15 every year and file early. Keeping the report current is the single most important routine step to keep a Montana LLC alive.

Montana Taxes: No Franchise or Sales Tax

Montana's tax environment is unusually light for business filings. There is no general sales tax and no franchise or privilege tax on LLCs. That means a Montana LLC has no entity-level tax return simply for existing - a contrast with states that levy an annual franchise tax regardless of profit.

Income is still taxed. By default, an LLC is a pass-through: profits flow to the members, who report them on their Montana individual income tax returns filed with the Montana Department of Revenue. An LLC that elects corporate taxation may owe Montana corporate income tax instead. Employers also register for withholding and unemployment insurance.

Because there is no franchise tax, the "Montana LLC annual report and franchise tax" search really resolves to just the annual report plus ordinary income tax. If you sell into other states, be aware you may owe their sales taxes even though Montana has none. See Montana LLC tax filing for how income is taxed.

Keeping Your Montana LLC in Good Standing

Good standing in Montana comes down to a short checklist: file the annual report by April 15 and pay the $20 fee, maintain a registered agent with a Montana address, and stay current on any income tax and employer obligations. Because there is no franchise tax, there is no separate annual tax filing to track for the entity itself.

Verify your status any time through the business entity search, which reflects whether your annual report is current. If you need formal proof - for a loan or to register in another state - request a Certificate of Existence (good standing) from the Secretary of State.

Staying compliant is inexpensive and simple in Montana relative to high-fee states, so there is little reason to fall behind. Set an annual reminder, keep your agent and contact details current, and file early. The governing rules for Montana LLCs appear in Title 35 of the Montana Code Annotated.

Frequently Asked Questions

When is the Montana LLC annual report due?

The Montana annual report is due by April 15 each year, filed online with the Secretary of State. The first report is generally due the year after formation, and the deadline repeats every April 15 thereafter.

How much is the Montana annual report fee?

The annual report fee is $20 when filed online by the April 15 deadline. Filing late adds a penalty on top of the $20. Confirm the current amount on the Secretary of State portal before filing.

Does Montana have an LLC franchise tax?

No. Montana does not impose a franchise or privilege tax on LLCs, and it has no general sales tax. The main recurring state filing for a Montana LLC is the annual report; income is taxed through the members' returns.

What happens if I miss the Montana annual report?

You incur a late fee and lose good standing. If the report stays unfiled, the Secretary of State can involuntarily dissolve the LLC, after which you must file the delinquent report and apply for reinstatement with additional fees.

How do I file a Montana annual report?

File online through the Secretary of State business portal at biz.sosmt.gov. Log in, find your LLC, review and update the information, and pay the $20 fee. Montana processes annual reports electronically.

Related

More Montana business guides

Business License In Form An Llc In Articles Of Organization Business Entity Search Certificate Of Formation Dba Filing Llc Tax Filing Operating Agreement Registered Agent

Sources

  1. Montana Secretary of State - Annual Reports (April 15; $20).
  2. Montana Secretary of State - Business Services Online Portal.
  3. Montana Secretary of State - Business Services.
  4. Montana Secretary of State - Business Forms and Fees.
  5. Montana Department of Revenue - Taxes (income tax; no sales tax).
  6. Montana Department of Revenue - Business Taxes.
  7. Montana Legislature - Montana Code Annotated, Title 35 (Corporations, Partnerships and Associations).
  8. Montana Legislature - MCA Title 35, Chapter 8 (Limited Liability Companies).
  9. IRS - Limited Liability Company (LLC).
  10. IRS - Business Structures.
  11. IRS - Get an Employer Identification Number.
  12. Cornell Law School Legal Information Institute - Limited Liability Company (LLC).
  13. Cornell Law School LII - Franchise Tax.

LegalGlass provides general information for educational purposes and is not a law firm or a substitute for advice from a licensed attorney or tax professional. Laws, fees, and thresholds change; verify current requirements with the Montana Secretary of State and the Montana Department of Revenue before acting.