Illinois State Form

Illinois LLC Operating Agreement

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Illinois Legal Requirements

Key IL statutes and obligations that apply to your llc operating agreement.

Requirements

  • Illinois LLC Act (805 ILCS 180): operating agreement governs internal affairs
  • Annual Report due before the first day of the LLC's anniversary month ($75 fee)
  • Illinois flat income tax: 4.95% on members' share of LLC income
  • Registered agent with Illinois address required
  • Series LLCs recognized in Illinois — a single LLC can have protected series

Restrictions & Limits

  • LLC name must include 'Limited Liability Company,' 'L.L.C.,' or 'LLC'
  • Professional services LLCs require additional licensing compliance
  • Foreign LLCs must register before conducting business in Illinois

Official Statute References

Primary Illinois statutes governing this document type.

Illinois LLC Operating Agreement FAQ

Common questions about llc operating agreements under Illinois law.

Does Illinois require an LLC operating agreement?

Illinois does not require an operating agreement to be filed with the state, but it is strongly recommended. Without one, the Illinois LLC Act's default rules govern — which may not align with member intentions, especially regarding profit sharing and management authority.

What is Illinois's LLC annual report requirement?

Illinois LLCs must file an annual report with the Secretary of State. The report is due before the first day of the LLC's anniversary month (the month it was formed). The filing fee is $75. Late filing results in penalties and eventual dissolution.

Are series LLCs available in Illinois?

Yes. Illinois was one of the first states to recognize series LLCs. Each series can hold separate assets and have its own members and operating agreement, with liability protection between series. The Illinois LLC Act (805 ILCS 180/37-40) governs series LLCs.

What is the Illinois income tax rate for LLC members?

Illinois has a flat individual income tax rate of 4.95%, which applies to members' share of LLC income. Illinois also imposes a personal property replacement tax of 1.5% on LLC income. Members must file Illinois Schedule K-1-P for pass-through income.

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Disclaimer: LegalLawDocs.com provides self-help legal documents for informational purposes only. The documents and information on this site do not constitute legal advice and are not a substitute for consultation with a licensed attorney. Laws vary by state and change frequently — review your document with a qualified professional before relying on it.