Delaware Franchise Tax Due March 1

Attention Delaware business owners and corporate counsel: Delaware annual reports and franchise taxes for 2014 are due on March 1, 2015.

The information you provide, and the tax you owe is dependent on the type of entity you run.

LLCs, LPs, and LLPs pay a $300 flat franchise tax.

Corporations pay a minimum of $175. However, the fee is based on the number shares of the corporation, and the maximum franchise tax can be as high as $180,000.

Exempt nonprofit corporations pay $25.

You can calculate your annual Delaware franchise tax through the Secretary of State’s website. Simply enter your Delaware file number (the entity number issued to your business by the Delaware Secretary of State), and you can calculate the total and file directly online.

If these numbers look higher than last year, you’re right. On July 1, 2014, Delaware increased its franchise tax minimums across the board. You can read our article on the subject from last year.

Failure to file the annual report and pay the franchise tax on time will lead to a penalty, and your entity might fall out of good standing with the state. Be sure to file by March 1, 2015!

Harbor Compliance can help you manage your entities’ compliance deadlines, and even file your annual reports for you. Contact us today to see how our annual compliance service is right for you.