diff --git a/java/google/registry/flows/domain/DomainPricingLogic.java b/java/google/registry/flows/domain/DomainPricingLogic.java
index 3fd6928c7..5e81e04a1 100644
--- a/java/google/registry/flows/domain/DomainPricingLogic.java
+++ b/java/google/registry/flows/domain/DomainPricingLogic.java
@@ -31,6 +31,7 @@ import google.registry.model.domain.fee.BaseFee;
 import google.registry.model.domain.fee.BaseFee.FeeType;
 import google.registry.model.domain.fee.Fee;
 import google.registry.model.registry.Registry;
+import java.math.BigDecimal;
 import java.util.Optional;
 import javax.inject.Inject;
 import org.joda.money.CurrencyUnit;
@@ -56,9 +57,10 @@ public final class DomainPricingLogic {
       throws EppException {
     CurrencyUnit currency = registry.getCurrency();
 
-    // Get the vanilla create cost.
-    BaseFee createFeeOrCredit =
-        Fee.create(getDomainCreateCost(domainName, date, years).getAmount(), FeeType.CREATE);
+    // Get the vanilla create cost, or 0 for anchor tenants.
+    BigDecimal domainCreateCost =
+        isAnchorTenant ? BigDecimal.ZERO : getDomainCreateCost(domainName, date, years).getAmount();
+    BaseFee createFeeOrCredit = Fee.create(domainCreateCost, FeeType.CREATE);
 
     // Create fees for the cost and the EAP fee, if any.
     Fee eapFee = registry.getEapFeeFor(date);
diff --git a/javatests/google/registry/flows/domain/DomainCreateFlowTest.java b/javatests/google/registry/flows/domain/DomainCreateFlowTest.java
index e816cf8e2..a0eb98895 100644
--- a/javatests/google/registry/flows/domain/DomainCreateFlowTest.java
+++ b/javatests/google/registry/flows/domain/DomainCreateFlowTest.java
@@ -214,16 +214,18 @@ public class DomainCreateFlowTest extends ResourceFlowTestCase<DomainCreateFlow,
       String domainTld, ImmutableSet<BillingEvent.Flag> expectedBillingFlags) throws Exception {
     DomainBase domain = reloadResourceByForeignKey();
 
-    // Calculate the total cost.
-    Money cost =
-        isDomainPremium(getUniqueIdFromCommand(), clock.nowUtc())
-            ? Money.of(USD, 200)
-            : Money.of(USD, 26);
+    boolean isAnchorTenant = expectedBillingFlags.contains(ANCHOR_TENANT);
+    // Calculate the total creation cost.
+    Money creationCost =
+        isAnchorTenant
+            ? Money.of(USD, 0)
+            : isDomainPremium(getUniqueIdFromCommand(), clock.nowUtc())
+                ? Money.of(USD, 200)
+                : Money.of(USD, 26);
     Money eapFee =
         Money.of(
             Registry.get(domainTld).getCurrency(),
             Registry.get(domainTld).getEapFeeFor(clock.nowUtc()).getCost());
-    boolean isAnchorTenant = expectedBillingFlags.contains(ANCHOR_TENANT);
     DateTime billingTime =
         isAnchorTenant
             ? clock.nowUtc().plus(Registry.get(domainTld).getAnchorTenantAddGracePeriodLength())
@@ -244,7 +246,7 @@ public class DomainCreateFlowTest extends ResourceFlowTestCase<DomainCreateFlow,
             .setReason(Reason.CREATE)
             .setTargetId(getUniqueIdFromCommand())
             .setClientId("TheRegistrar")
-            .setCost(cost)
+            .setCost(creationCost)
             .setPeriodYears(2)
             .setEventTime(clock.nowUtc())
             .setBillingTime(billingTime)