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How do I form an LLC in South Carolina?

Federal & State Law Editorial TeamLast reviewed: 2026-04-30

South Carolina LLCs are governed by the South Carolina Uniform Limited Liability Company Act, S.C. Code Title 33, Chapter 44.

1. Filing Fee and Processing Time

  • Articles of Organization: $110 online ($125 by paper) with the South Carolina Secretary of State.
  • Processing: 1-2 business days online; 7-14 days by mail.

    • 2. Name Reservation

  • Optional. 120-day reservation for $25. Name must include "Limited Liability Company," "Limited Company," "LLC," "L.L.C.," "LC," or "L.C." (S.C. Code § 33-44-105).

    • 3. Registered Agent

  • Required under S.C. Code § 33-44-108.
  • Must be a South Carolina resident individual OR an entity authorized to do business in SC, with an SC street address.

    • 4. Operating Agreement

  • Permitted but not required (S.C. Code § 33-44-103). Not filed with the state.
  • Recommended for multi-member LLCs.

    • 5. Annual Report — Only for C-Corp LLCs

  • South Carolina does NOT require an annual report for LLCs taxed as partnerships or disregarded entities (the most common federal tax classifications).
  • LLCs that elect C-corporation tax treatment must file the Annual CL-1 Initial Report ($25 one-time) and an annual SC1120 corporate tax return including a license fee component.

    • 6. State Taxes

  • South Carolina has a graduated individual income tax with a top rate of 6.2% (2025, declining to 6.0%) on pass-through LLC income.
  • LLCs taxed as C-corps pay 5.0% SC corporate income tax plus the license fee (annual minimum $25).
  • Sales and use tax (6% state + local) registration if selling taxable goods.

    • 7. Initial Annual Report Form CL-1 — One-Time for C-Corp LLCs

  • LLCs taxed as C-corps file Form CL-1 within 60 days of doing business (one-time fee of $25).

    • 8. Federal EIN

  • Required for multi-member LLCs and any LLC with employees.

    • 9. Professional LLCs

  • South Carolina does not have a separate PLLC statute — licensed professionals form a regular LLC subject to licensure board rules.

    • 10. Local Business Licenses

  • Most SC municipalities require business license fees based on gross receipts (significant revenue source for cities like Charleston and Columbia).

    • This is legal information, not legal advice.

    When to Talk to a Lawyer
    • You are electing C-corp tax status and need to navigate Form CL-1
    • You operate in Charleston or Columbia with significant local business license costs
    • You are forming a multi-member LLC with sophisticated investors
    Related Statutes & Laws
    • S.C. Code § 33-44-103
    • S.C. Code § 33-44-105
    • S.C. Code § 33-44-108
    • S.C. Code § 33-44-202
    • S.C. Code § 33-44-1003

    This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.