Delaware Corporate and LLC Taxes & Fees

Whenever you're looking to take a step forward in your business, it's important to know how much it will cost. Delaware has a host of favorable business and taxation laws that make it a very common place for companies to incorporate or form their LLC.

When deciding whether to incorporate or form your LLC in Delaware, you'll want to consider all aspects of the costs, including formation fees and ongoing taxes.

The Company Corporation will be happy to take care of the requirements to get your Delaware LLC or corporation up and running. We'll advise you of the cost and help you complete all requirements. Contact us today!

How much does it cost to incorporate in Delaware?

The state fee to incorporate in Delaware is a minimum of $89. This includes your Division of Corporation fees ($50), filing fee tax ($15 minimum), and the county fee ($24). This price is based on a corporation with 1,500 shares at no par value, so the Delaware incorporation fees to file may vary depending on the number of shares you desire and their par value.

Similarly, the Delaware LLC fees include $90 to the state for filing your Delaware LLC formation.

What are ongoing Delaware corporation taxes and fees?

The State of Delaware has an array of corporation tax benefits. Delaware has no state sales tax, and the state's franchise tax is low for small businesses. Non-residents do not pay personal income taxes in Delaware.

All businesses incorporated in the State of Delaware are required to file an Annual Report and to pay a franchise tax. The Annual Report filing fee for all non-exempt domestic corporations is $50.00 plus taxes. Delaware corporate tax filings are due no later than March 1st each year.

The minimum Delaware corporation tax is $175.00 for corporations using the Authorized Shares method and a minimum tax of $350.00 for corporations using the Assumed Par Value Capital Method. All corporations using either method will have a maximum tax of $180,000.00.

Delaware corporate income tax payers owing $5,000.00 or more pay estimated taxes in quarterly installments with 40% due June 1, 20% due by September 1, 20% due by December 1, and the remainder due March 1. The penalty for not filing a completed Annual Report on or before March 1st is $125.00 Interest at 1.5% per month is applied to any unpaid tax balance.

What are ongoing Delaware LLC taxes and fees?

LLCs in Delaware do not have to file an annual report, but they are required to pay an annual tax of $300. State of Delaware LLC tax payments are due on or before June 1 of each year. The penalty for non-payment or late payment is $200, and interest accrues on both the tax and the penalty at a rate of 1.5% per month.

While you might try to lower the fees associated with forming a Delaware corporation or LLC by filing on your own, the additional time and stress created by going through the process may cost you in the end. This does not include potential errors and mistakes that can cost you in several other ways and greatly increase your costs to incorporate, and there is no one to turn to when you need important questions answered.

The Company Corporation will take care of the requirements and filing fees needed to get your Delaware corporation up and running. We'll let you know the total cost to incorporate in Delaware based on your individual situation. You'll find our services to be very affordable, and much less confusing than trying to do it yourself. Contact us today!