New York LLC Comparisons — Entity Types & State vs. State
Choosing the right structure for your New York business involves understanding both entity type differences and whether to form in NY versus another state. The publication requirement and high tax rates make these decisions more consequential in New York. For formation steps, see our NY LLC guide.
Entity Type Comparisons
- LLC vs. Sole Proprietorship — liability protection vs. simplicity
- LLC vs. Corporation — flexibility vs. corporate governance
- LLC vs. S-Corp — understanding the tax election
- LLC vs. Partnership — liability protection matters
State vs. State Comparisons
- [New York vs. Delaware LLC](/versus/new york-vs-delaware-llc/) — VC needs vs. cost/complexity
- [New York vs. Wyoming LLC](/versus/new york-vs-wyoming-llc/) — privacy and cost comparison
Quick Comparison Table
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Get Started| Factor | Sole Prop | NY LLC | Corporation | S-Corp (election) |
|---|---|---|---|---|
| Liability protection | None | Full | Full | Full |
| Formation cost | $0 | $200 + publication | $125 + publication | Same + election |
| State income tax | 4%-10.9% | 4%-10.9% | 6.5%-7.25% corporate | 4%-10.9% pass-through |
| Publication required | No | Yes | No | Yes (if LLC) |
| Operating agreement required | No | Yes (mandatory) | Bylaws required | Yes (if LLC) |
| Self-employment tax | All profit | All profit | Salary only | Salary only |
| PTET eligible | No | Multi-member or S-corp | No | Yes |
| IT-204-LL fee | No | $25-$4,500 | No | $25-$4,500 |