What Taxes Does an LLC Pay in Georgia?

A Georgia LLC usually does not pay a separate Georgia entity-level income tax by default. Instead, LLC income generally passes through to the owners, who report it under Georgia's flat 5.19% state income tax rate. If the LLC sells taxable goods or services, it may also need to register for Georgia sales and use tax and collect the state's 4% sales tax rate plus local add-ons. Federal self-employment tax, payroll taxes, and any federal S-corp or C-corp election consequences still apply.

Georgia Income Tax

Georgia treats most LLCs as pass-through entities unless they elect corporate taxation. That means a single-member LLC normally defaults to disregarded entity (Schedule C) treatment, and a multi-member LLC normally defaults to partnership (Form 1065) treatment. The members, not the LLC itself, usually report the income on their own returns under O.C.G.A. Title 48, Chapter 7.

As of March 31, 2026, Georgia's flat state income tax rate is 5.19%. In practice, that means the LLC's profit is usually taxed to the owners rather than through a separate Georgia LLC income tax return built just for the entity label.

Sales Tax

If your Georgia LLC sells taxable goods or taxable services, it may need a Georgia sales and use tax certificate of registration. Georgia's state sales tax rate is 4%, and local taxes can increase the combined rate depending on the county or city.

No Separate Franchise Tax or Gross Receipts Tax for the Default LLC

Georgia does not impose a separate LLC franchise tax in this project's state data, and it does not impose a standalone gross receipts tax on a default Georgia LLC. The recurring state-level business filing most Georgia LLC owners notice first is the Annual Registration, which is a compliance filing rather than an income tax.

That annual registration is filed with the Georgia Secretary of State, not the Department of Revenue, and it currently carries a $60 filing fee.

Federal Taxes and Elections

Georgia LLC owners still need to think about federal tax treatment. Self-employment tax generally applies to active business income unless you structure compensation through a valid S-corp election. Georgia also recognizes S-corporation treatment at the state level, so some LLC owners elect S-corp status when it improves the overall tax result.

Estimated federal and state payments are commonly tracked against these dates:

April 15
June 15
September 15
January 15

Bottom Line

For most owners, a Georgia LLC means pass-through state income tax at 5.19%, possible sales tax registration at 4% plus local add-ons, and the normal federal LLC tax rules. It does not mean a separate Georgia LLC franchise tax just because the business is an LLC. For current filing and tax administration details, check the Georgia Department of Revenue at dor.georgia.gov.

This is general information, not legal advice.