After forming a limited liability company (LLC), you must undertake certain steps on an ongoing basis to keep your business in compliance. These steps are also important in preserving the limited liability an LLC provides its owner(s). This guide outlines the ongoing requirements for California LLCs.
California LLC taxes and fees
The following are taxation requirements and ongoing fees in California:
- Annual report and franchise tax. California requires LLCs to file a Statement of Information biennially during a time period that runs from the first day of the fifth month preceding the LLC's formation anniversary date but no later than the last day of the anniversary month. The fee for the Statement of Information is $20. California also has a minimum franchise tax of $800, which is due within three months of incorporation and annually thereafter.
- Taxes. For complete details on state taxes for California LLCs, visit Business Owner's Toolkit or the State of California.
- Federal tax identification number (EIN). An EIN is required for LLCs that will have employees. Additionally, most banks require an EIN in order to open a business bank account.
- State tax identification number. California does not require a state tax identification number.
Business Licenses in California
Business licenses and/or permits are required for most businesses. The BizFilings Business License Application Package can help you stay on top of these requirements.
Additional California information
View the following additional resources BizFilings has for forming and maintaining companies in California:
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