Delaware Corporate Franchise Taxes

how to file corporate taxes

How to file a Delaware corporate annual report

Delaware Annual Report and Franchise Tax Overview

Domestic Delaware corporations have a franchise tax and annual report due every March 1st. The only way to file your Delaware corporate annual report  for a domestic corporation is to file online. Or you can pay a Delaware registered agent to do it for you, but there’s no need to waste your money paying someone else to turn around and just enter the same info you give them into the Delaware Division of Corporations website.

Steps to filing the Delaware Annual Report and Franchise Tax

Go to the Delaware Division of Corporations Website

Domestic corporations can only file online. Use the link below to get started.
  • Enter Business Entity File Number

    After clicking the “Pay taxes/File annual report” button on the Division of Corporations website, you’ll need to enter the Business Entity File Number. This can be found by performing a business name search. The number will be highlighted as part of your business’ name search result.
  • Enter Corporation Information

    When you enter the Business Entity File Number, you will then be taken to a page that combines the annual report and franchise tax information. You’ll need to enter the following information: Federal Employer ID Number (EIN); corporation’s physical address; names and addresses of officers (if any); names and addresses of all directors; name, title, and address of person completing the filing.
  • Pay the Franchise Tax and Annual Report Fee

    Complete the payment. You can pay with electronic check (ACH) or any major credit card. Once the payment is complete, you’re done, until next year.

  • Delaware Annual Report and Franchise Tax Costs

    There is a minimum

    tax of $175 and a minimum filing fee of $50; so there is a minimum Delaware franchise tax  and annual report payment total of $225 a year for Delaware domestic corporations. Domestic corporations must file by March 1 or face a $125 penalty, and a 1.5% interest rate on the amount due.

    Delaware Foreign Corporation Annual Report and Franchise Tax

    Corporations that are formed out of state and registered to do business in Delaware have the same filing fees. However, foreign corporations (corporations formed in another state or jurisdiction) cannot file online. The foreign corporation form gets mailed to us, and we scan it into your online account. You can print it out and mail or fax it into the state of Delaware with the payment. Franchise taxes for corporations registered to do business in Delaware are due by June 30th of each year.

    If I live in a different country, is my corporation a foreign corporation?

    Even if you are a foreigner located out of the U.S. you do not have a foreign Delaware corporation. If the corporation was formed in Delaware, it is a domestic Delaware corporation, no matter where you actually live.

    Delaware Annual Report and Franchise Tax Late Fees

    There is a $125 penalty if you miss the deadline for filing, and 1.5% a month interest on the amount due. The Division of Corporations pull in a TON of money off hammering people with late fees and interest. As your Delaware registered agent, we send you a ton of reminders to file this to hopefully save you some money. Don’t waste $125 on late fees. Just get it filed and move on.

    Filing Information

    Here is where you can file your Delaware franchise tax report for a Delaware corporation:

    Source: www.delawareregisteredagent.com

    Category: Taxes

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