Form a corporation in Arkansas

Q: How is the Arkansas corporate franchise tax calculated?

For corporations with authorized stock, it's 0.3% of the value of outstanding capital stock or $150, whichever is greater, due May 1 with the annual report.

Q: Does Arkansas recognize S-corporation status?

Yes. Arkansas honors the federal S-corp election, with income generally passing through to shareholders.

Incorporate in Arkansas with confidence. CountSure files your Articles of Incorporation, sizes your stock structure, and keeps your May 1 annual report on track. Low filing fees, with a stock-based franchise tax to plan for.

Requirements, costs & steps for an incorporate in Arkansas

Incorporating in Arkansas creates a formal entity with directors, officers, and stock – in a state with low filing fees and a modest tax burden. The Arkansas detail to plan for is the franchise tax: corporations with stock pay 0.3% of their outstanding capital stock or $150, whichever is greater, due every May 1 with the annual report. This guide covers the cost, the filing steps, and ongoing compliance. To compare structures first, read our LLC vs. corporation guide, or let our Arkansas incorporation service file it all for you.

What you need to know?

Filing fee:

$45 online / $50 by mail for Articles of Incorporation, filed with the Arkansas Secretary of State.

Stock-based franchise tax:

Corporations with stock pay 0.3% of outstanding capital stock OR $150, whichever is greater, due May 1.

Annual report:

Filed with the franchise tax by May 1 each year.

Directors:Incorporator + officer:

Arkansas requires an incorporator/organizer and at least one officer on record.

Directors:

At least one director; no Arkansas residency requirement.

Arkansas corporation at a glance

The essentials for incorporating and maintaining an Arkansas corporation.

Requirement	Detail (2026)
Formation document	Articles of Incorporation
Filing agency	Arkansas Secretary of State (Business & Commercial Services)
State filing fee	$45 online / $50 by mail
Registered agent	Required; physical Arkansas address
Directorss	Min. 1; no residency requirement
Incorporator / officer	Incorporator + at least one officer required
Bylaws	Required (internal; not filed)
Annual report + franchise tax	Due May 1; corporations with authorized stock, the franchise tax is 0.3% of outstanding capital stock or $150, whichever is greater
Corporate income tax	Graduated; top rate 4.3% (C-corp)
S-corp election	Recognized (federal election honored)

How to incorporate in Arkansas, Step by Step

Seven steps from name check through your first Initial Report.

Choose a compliant corporate name

Arkansas corporate names must include “Corporation,” “Incorporated,” “Company,” “Limited,” or an abbreviation, be distinguishable from existing names, and not mislead the public. Reserve a name for 120 days if desired.

Appoint a statutory agent

An Arkansas resident or registered service with a physical in-state address (no PO box) who accepts service of process. CountSure can serve as your registered agent.

Prepare your Articles of Incorporation and Certificate of Disclosure

File online for $45 ($50 by mail). The Articles list the corporate name, registered agent, incorporator, authorised shares, and – per Arkansas practice – at least one officer.

Adopt bylaws and hold an organisational meeting

Bylaws are internal (not filed). Appoint directors/officers, adopt bylaws, and authorise stock issuance; keep minutes in your corporate records.

Issue stock

Document the issuance of shares to initial shareholders and comply with state/federal securities rules. Your authorised capital stock affects your franchise tax.

Get an EIN and elect tax status

Obtain a free EIN; to elect S-corp treatment, file IRS Form 2553. Register for state tax accounts as needed.

Calendar the May 1 annual report and franchise tax

Every Arkansas corporation files an annual report and franchise tax by May 1; for stock corporations, the tax is 0.3% of outstanding capital stock or $150, whichever is greater.

Naming & Member Requirements

Arkansas keeps director rules light but requires an incorporator, at least one officer on record, and ties your franchise tax to authorised stock. Here’s what to get right.

Ongoing Arkansas corporation Compliance & Taxes

Corporate records

Keep the Articles, bylaws, current director/officer and shareholder lists, and minutes of shareholder and board meetings at your principal office. Maintaining these formalities protects your limited-liability status.

Annual report and franchise tax - due May 1

Arkansas combines the corporate annual report with the franchise tax, both due May 1. For corporations with stock, the tax is 0.3% of the value of outstanding capital stock or $150, whichever is greater. Non-stock corporations pay a fixed amount. Missing the deadline can block other state filings and revoke the corporate charter.

Corporate income tax

Arkansas levies a graduated corporate income tax (top rate around 4.3%). Arkansas also has a standard state-plus-local sales tax for taxable sales.

S corporation election

Arkansas recognises the federal S-corporation election; income generally passes through to shareholders and is taxed under the individual graduated rates.

EIN and state tax ID

An EIN is required to hire and bank account. Register with the Department of Finance and Administration for sales tax and employer withholding, as applicable.

Arkansas incorporation Cost Breakdown

The full picture before optional services.

Item	Cost (2026) · paid to
Articles of Incorporation	$45 online / $50 mail · Secretary of State (one-time)
Annual report + franchise tax	corporations with authorized stock, the franchise tax is 0.3% of outstanding capital stock or $150, whichever is greater · Secretary of State, due May 1
Name reservation (optional)	$22.50 online / $25 mail · 120-day hold
Certificate of Good Standing (optional)	$25 ($28 online) · Secretary of State
Registered agent (optional service)	~$100–$300/yr · third party
EIN	$0 · IRS (free)

Insight From Our Team

“Arkansas’s corporate franchise tax is the one to watch, because it’s tied to your authorised capital stock – 0.3% of outstanding capital or $150, whichever is greater. Startups that authorise a huge number of shares ‘just in case’ can accidentally inflate their franchise tax. We size the initial stock structure deliberately so founders keep flexibility without creating a bigger May 1 bill than they need.”

Parth Shah
CountSure

Related Guides & Services

Frequently Asked Questions

How much does it cost to incorporate in Arkansas?

The Articles of Incorporation fee is $45 online ($50 by mail). Ongoing, you file an annual report with franchise tax by May 1 – 0.3% of outstanding capital stock or $150, whichever is greater.

How is the Arkansas corporate franchise tax calculated?

For corporations with authorised stock, it’s 0.3% of the value of outstanding capital stock or $150, whichever is greater, due May 1 with the annual report.

Do Arkansas corporations file an annual report?

Yes. Arkansas combines the corporate annual report with the franchise tax, both due on May 1 each year.

How many directors does an Arkansas corporation need?

At least one. Arkansas also requires an incorporator/organizer and at least one officer on record.

Does Arkansas recognize S-corporation status?

Yes. Arkansas honours the federal S-corp election, with income generally passing through to shareholders.

The applicable legal fees may vary over time. For the most up-to-date fee information, please click here to verify the latest figures.

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Start your Incorporate in Arkansas with CountSure

From Articles of Incorporation and bylaws to stock, EIN, and your May 1 annual report and franchise tax, CountSure handles Arkansas incorporation start to finish.