Form Your North Carolina S Corporation
Incorporate in the Tar Heel State, then elect S-corp status to unlock pass-through taxation and payroll tax savings, backed by a 2.25% corporate tax rate and the Research Triangle tech hub
Filed in North Carolina
The Tar Heel State · NC
- State filing fee$125
- Processing timeOnline immediate; mail 10-15 business days
- Our formation feeFree (you pay $100 if you choose a paid plan)
- Annual report$25/yr report + franchise tax ($200 min) — due By the 15th day of the 4th month after fiscal year-end
- State tax rate2.25% flat corporate income tax
- Expedited option24 hours (+$100)
Form your North Carolina S-Corp — pay only the state filing fee, nothing more.
- Encrypted storage
- 256-bit SSL
- All 50 states
- 30-day money-back
Everything to launch your North Carolina S-Corp
Free formation means you pay only the $125 state filing fee. All core services are included at no extra charge.
Articles of Incorporation filing
We prepare and submit your Articles of Incorporation to the North Carolina Secretary of State.
Registered agent
Required in North Carolina — we act as your agent for the first year.
EIN from the IRS
Your federal Tax ID — required to open a US business bank account and file taxes.
Corporate bylaws
Professionally drafted corporate bylaws — defines ownership, voting, and profit splits.
Benefits of forming an S-Corp in North Carolina
North Carolina pairs one of the nation's lowest corporate income tax rates (2.25% flat) with a thriving Research Triangle tech corridor and Charlotte's major banking sector, making it a strong base for an S corporation seeking pass-through tax efficiency. After incorporating with the Secretary of State, owners elect S-corp status with the IRS to split income between a reasonable salary and distributions, trimming self-employment tax while still enjoying the state's low ongoing costs.
Pass-through taxation avoids the entity-level double tax that C corporations pay
Self-employment and payroll tax savings on profit distributions beyond a reasonable W-2 salary
North Carolina's low 2.25% flat corporate income tax keeps state-level costs minimal
Research Triangle (Raleigh-Durham-Chapel Hill) tech and biotech hub access for talent and capital
Charlotte is the second-largest US banking center, ideal for finance-focused S corporations
Limited liability protection for shareholders' personal assets
Highly educated workforce from Duke, UNC, and NC State
Moderate cost of living and strong quality of life for founders and employees
Key features of a North Carolina S-Corp
- Pass-through taxation with no entity-level double tax
- Payroll tax savings on distributions above a reasonable salary
- Low 2.25% flat North Carolina corporate income tax
- Research Triangle tech and biotech hub plus Charlotte finance center
- Up to 100 US shareholders and one class of stock
Major industries in North Carolina
Form your North Carolina S-Corp in 6 steps
We handle every step while you stay in the loop. Processing takes Online immediate; mail 10-15 business days.
- 01
Form Your North Carolina Corporation
An S corporation is a tax election, not a state entity. First file Articles of Incorporation with the North Carolina Secretary of State to create a corporation. The state filing fee is $125, with online filing processed immediately.
- 02
Appoint a Registered Agent
North Carolina requires a registered agent with a physical address in the state to accept legal documents and service of process on behalf of your corporation.
- 03
Issue Stock and Adopt Bylaws
Issue a single class of stock, adopt corporate bylaws, and hold your organizational meeting. S corporations may have no more than 100 shareholders, all of whom must be US citizens or residents.
- 04
Obtain an EIN
Apply for a free Employer Identification Number from the IRS. You need it to file Form 2553, open a business bank account, and run payroll.
- 05
File IRS Form 2553 to Elect S-Corp Status
Submit Form 2553 to the IRS to elect S corporation taxation, generally within 75 days of incorporation or by March 15 to apply for the current tax year. This federal election creates the S corporation.
- 06
Set a Reasonable Salary and File the NC Annual Report
Pay shareholder-employees a reasonable W-2 salary before taking distributions, and file the North Carolina corporate annual report ($25 online) along with the state franchise tax.
North Carolina S-Corp costs at a glance
Kicker formation is free — you pay only the required state fees. No hidden charges.
North Carolina S-Corp requirements checklist
Everything you need to form and maintain a North Carolina S-Corp in 2026.
- File Articles of Incorporation with the NC Secretary of State ($125)
- Appoint a registered agent with a physical North Carolina address
- Issue only one class of stock with no more than 100 shareholders
- All shareholders must be US citizens or residents (no foreign owners)
- File IRS Form 2553 within 75 days of formation or by March 15
- Pay shareholder-employees a reasonable W-2 salary before distributions
- File the NC annual report ($25) and pay state franchise tax ($200 minimum)
Filing information
- Formation document
- Articles of Incorporation
- Filing agency
- North Carolina Secretary of State
- Registered agent
- Required
- Corporate bylaws
- Recommended
- EIN
- Required
- Name reservation fee
- $30 (120 days)
Free formation — pay only the state fee
Kicker formation is free. You pay the $125 North Carolina state filing fee and nothing more for the Starter plan. Optional plans add registered agent, EIN, corporate bylaws, and compliance.
Starter
- Articles of Incorporation filing
- Name availability check
- Digital document delivery
- Formation status tracking
Booster
- Everything in Starter
- Registered agent (required in North Carolina)
- EIN / Federal Tax ID
- Expedited processing (1–2 days)
- Corporate bylaws
- Priority support
- Kicker Voice — 3-day free trial
- Kicker Pay — free for 15 days
Founder
- Everything in Booster
- Business mailing address
- Bookkeeping — 3 months free
- Dedicated account manager
- Rush processing
- Kicker Voice — 6-day free trial
- Kicker Pay — free for 30 days
Kicker
- Everything in Founder
- ITIN filing & preparation
- Same-day priority processing
- 2nd year annual filing $0
- Kicker Voice 12-day + Kicker Pay 60 days free
Compare all plans on our pricing page.
North Carolina S-Corp questions, answered
Common questions about forming an S-Corp in North Carolina. Can't find an answer? Talk to our team.
How do I form an S corporation in North Carolina?
An S corporation is a federal tax election, not a separate state filing. You first form a corporation by filing Articles of Incorporation with the North Carolina Secretary of State ($125), then file IRS Form 2553 to elect S-corp status. Online state filings are processed immediately; mailed filings take 10-15 business days.
How much does it cost to start an S corporation in North Carolina?
The North Carolina Secretary of State charges a $125 fee to file Articles of Incorporation for the underlying corporation. Electing S-corp status with the IRS via Form 2553 is free. Ongoing, you file a $25 annual report plus the state franchise tax ($200 minimum).
When must I file Form 2553 to elect S-corp status?
File IRS Form 2553 within 75 days of forming your North Carolina corporation, or by March 15 to have the election apply to the current tax year. Missing the deadline generally pushes S-corp tax treatment to the following year.
What is North Carolina's tax rate for an S corporation?
North Carolina has a flat 2.25% corporate income tax, among the lowest in the country, and a 4.75% state sales tax. S corporation income generally passes through to shareholders, but North Carolina also imposes a franchise tax of $1.50 per $1,000 of net worth with a $200 minimum.
Can a foreign owner be a shareholder in a North Carolina S corporation?
No. S corporations may only have shareholders who are US citizens or residents, no more than 100 total, and a single class of stock. Foreign owners are not eligible, so a corporation with non-resident shareholders cannot elect S-corp status.
What is the reasonable salary requirement for an S corporation?
Shareholder-employees who work in the business must be paid a reasonable W-2 salary before taking profit distributions. The salary is subject to payroll taxes, but distributions above it avoid self-employment tax, which is the core S-corp savings the IRS scrutinizes.
Does my North Carolina S corporation need to file a BOI report?
Under FinCEN's March 2025 interim final rule, US domestic entities and US persons are exempt from Beneficial Ownership Information reporting. A North Carolina corporation formed in the US does not file a BOI report; only foreign-formed entities registered in a US state still report.
What ongoing filings does a North Carolina S corporation have?
North Carolina corporations file an annual report with the Secretary of State ($25 online) and pay the state franchise tax ($200 minimum). You also file the federal Form 1120-S and issue Schedule K-1s to shareholders, plus run payroll for shareholder-employee salaries.
North Carolina government filing resources
Filing fees for common S-Corp services
Official North Carolina state charges for the filings you may need after formation — our service fee is separate, and we confirm the current amount before filing.
Unified common form (BE-03) for all business entity types.
Called 'Certificate of Existence' in NC (domestic) / 'Certificate of Authorization' (foreign).
Learn moreCertified (and plain) copies of filed documents are ordered dynamically through a NC SOS online Business Services account (or by phone 919-814-5400 ext.
$10.00 (US currency) per document for an apostille or authentication.
No fee - NCDOR explicitly states there is NO charge to obtain a Certificate of Registration (sales and use tax number).
Learn more$5.00 filing fee stated on Form BE-06 ('Filing fee is $5.00'), filed pursuant to N.C.G.S.
Learn moreEverything you need to run your North Carolina S-Corp
Formation is the first step — stay compliant and operational with these services.
Form your company in any state
Pick a state to see its filing fee and processing time — then start in minutes.
Ready to form your North Carolina S-Corp?
Formation is free — you pay only the $125 North Carolina state filing fee. Personal-asset protection, pass-through taxation, and a complete document package, filed in Online immediate; mail 10-15 business days.
No hidden fees · 100% accuracy guarantee · 30-day money back · All 50 states