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Jino Joseph & Associates
California LLC's pay minimum LLC tax of $800 every year in additional to the LLC Fees
The annual LLC tax is due and payable by the 15th day of the 4th month after the LLC is registered with the Secretary of State.
Example: If a calendar year LLC is formed in June 2017, the first payment of $800 should be made by October 15th of 2017. The next payment is due by April 15th 2017 for the calendar year 2019 (pre-payment).
If the revenue is $250K or more, additional LLC fees are levied by Franchise Tax Board based on the following revenue ranges:
The LLC Fees is due and payable by the 15th day of the 6th month from the beginning of the taxable year.
Failure to pay LLC taxes and fees will attract underpayment penalty of $40 per year (min) and monthly penalty and interest charges
Automatic Extension: LLC's (in good standing) that have fully paid their tax liability but cannot file their return by the due date receive an automatic six-month extension to file the return. However if the LLC owes any taxes, it should be paid by the return due date using Form 3537
15 day exception: CA LLC's formed less than 15 days before the end of their tax year and did not conduct any business does not have to pay the $800 fee for that year. (See Publication)
California S Corporations pays tax at 1.5% of the net profit with a minimum of $800 every year (except for the first year).
The minimum tax is due by the 15th day of the 4th month following the taxable year ($800 for $2017 is due by Apr 15th 2018 for calendar year Corporations). If the S Corporation owes more than the $800 minimum tax, additional tax payments are due quarterly
California C Corporations pays tax at 8.84%o of the net profit with a minimum of $800 every year (except for the first year).The minimum tax is due by the 15th day of the 4th month following the calendar year.
Automatic Extension: S and C Corporations (in good standing) that have fully paid their tax liability but cannot file their return by the due date receive an automatic seven-month extension to file the return. Since the extension is automatic, there is no extension request form. If the corporation owes tax, it should submit form FTB 3539 (Payment Voucher for Automatic Extension for Corporations and Exempt Organizations) with payment by the original return due date.
Entities formed in California need to file statement of information as per the following schedule
Entities doing business in Texas: Corporations need to file Annual Report and pay Franchise Tax by June 15th. (Click here to file and pay)
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