Delaware LLC annual tax
Flat $300 annual franchise tax for all Delaware LLCs, due June 1.
Definition
Delaware LLCs pay a flat $300 annual franchise tax due June 1 each year. Unlike Delaware Corporations, LLCs do not file an annual report; the $300 payment is the only annual state obligation. Late penalty: $200 plus 1.5% monthly interest.
Context
Flat-fee structure is one of the reasons Delaware LLC ownership cost stays predictable.
Example
A Delaware LLC formed in March pays $300 by June 1 (first payment). Subsequent years: $300 by June 1 each year.
Common pitfalls
- Late penalty ($200) plus interest accrues monthly.
- Two consecutive years unpaid triggers state-level cancellation.