If you’re a member, manager, partner or anyone else in charge of compliance for one of the approximately 1.5 million limited liability companies (LLCs) or limited partnerships (LPs) that have formed or registered in Delaware or a general partnership (GP) that has filed a statement of partnership existence in Delaware you should know this:
Your LLC/LP/GP has to pay its annual tax by June 1, 2023.
CT Tip: LLCs, LPs and GPs do not have to file an annual report along with the tax. However, domestic and foreign limited liability partnerships are required to file an annual report, along with a fee of $200 per partner (up to a maximum of $120,000), which is due June 1.
The annual tax is $300. It’s paid to the Delaware Secretary of State. There is a $200 penalty, plus interest, for late payments. Also, an LLC, LP or GP that doesn’t pay by June 1 will no longer be in good standing in Delaware. That means, among other things, that the Division of Corporations will not file documents on its behalf. Nor will the Division issue it the certificate of good standing it may need to expand into other states, get a loan, or enter into new ventures. Also, the LLC, LP or GP won’t be allowed to bring a lawsuit in a Delaware court until it’s restored to good standing.
In addition, in the case of a Series LLC or a Series LP, you should be aware that each registered series must pay an annual tax of $75 per year, due June 1. This is in addition to the annual tax paid by the “parent” Series LLC or LP. There is a $50 penalty, plus interest for late payments.
It is very important to pay the annual tax on time. For more information or assistance in paying the annual tax talk to us today.
