Why June 1st Is an Important Deadline for Delaware LLCs

By Amy Fountain Tuesday, May 19, 2020

ftIf you have a Delaware Limited Liability Company (LLC), series LLC or Limited Partnership (LP), then the date of June 1 is critical to your business entity. June 1 is the deadline for paying your company’s annual Franchise Tax fees

The State of Delaware typically does not extend its deadline or offer grace periods under any circumstances. This includes when the deadline falls on a weekend day, as well as other unique or unforeseen situations.

**Please be aware that the State of Delaware has specifically stated that they will not be extending the payment deadline or offering any grace period in light of the Covid-19 pandemic. This applies to all LLC and LP entities.**

Please note that this deadline only applies to companies formed in the previous calendar year or earlier. For any LLC/LP filed during the current calendar year, the $300 Delaware Franchise tax is due June 1st of next year for the first time.

Every LLC and LP formed in the state of Delaware is required to pay the Franchise Tax fee annually in order to be compliant. The minimum amount due for the Franchise Tax is $300 per entity, per year. If the Franchise Tax filing is not received by the deadline, the state of Delaware will automatically add a $200 late penalty, plus interest.

We offer a service to assist with the filing of your annual Franchise Tax for an additional fee. If you have not yet paid your Delaware Franchise Tax, you need to take care of this today. You can pay quickly and easily on our Payments page.

Every year we process thousands of Franchise Tax filings with the state of Delaware in a timely manner. In order to accomplish this, we must enforce a strict deadline. This allows us to accurately process all filings in our possession before the state’s deadline.

Here's how our deadline processing typically works:

  • For several days leading up to the deadline our office will be accepting Franchise Tax payments online, via fax, email or telephone during regular business hours.
     
  • If the deadline is on a weekday, on the day of the deadline, we accept the same payment methods for only part of the day, typically until early afternoon in Eastern time. Then, we will begin accepting payments online ONLY until 8:00 pm EST, at which point we cannot accept any additional payment of any type.
     
  • If the deadline is on a weekend, our hours are generally more restricted.

Please feel free to contact us in advance and confirm our hours for the deadline to avoid any last minute confusion or frustration.

If you are unable to make your payment during our noted hours, your Franchise Tax filing will need to be paid directly through the state of Delaware’s website. You will need to contact their office directly in order to make your payment and filing arrangements.  Their contact details are:

Website: corp.delaware.gov

Telephone: 302-739-3073

If you have any questions about LLC/LP Franchise Tax or the deadline, please call our office at 1-800-345-2677 or 1-302-645-7400, Ext. 6904. You can also email your questions.

*Disclaimer*: Harvard Business Services, Inc. is neither a law firm nor an accounting firm and, even in cases where the author is an attorney, or a tax professional, nothing in this article constitutes legal or tax advice. This article provides general commentary on, and analysis of, the subject addressed. We strongly advise that you consult an attorney or tax professional to receive legal or tax guidance tailored to your specific circumstances. Any action taken or not taken based on this article is at your own risk. If an article cites or provides a link to third-party sources or websites, Harvard Business Services, Inc. is not responsible for and makes no representations regarding such source’s content or accuracy. Opinions expressed in this article do not necessarily reflect those of Harvard Business Services, Inc.

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There are 2 comments left for Why June 1st Is an Important Deadline for Delaware LLCs

Samuel Chibuike said: Wednesday, May 20, 2020

Please does the June 1 Tax applies to non-us llc owners?

HBS Staff replied: Wednesday, May 20, 2020

If the company is a Delaware LLC and it was formed in 2019 or earlier, then the deadline of June 1, 2020 applies, regardless of where the owner is located.

Hanzal Green said: Wednesday, May 29, 2019

Is it as simple as calling the office and paying by credit card?

HBS Staff replied: Thursday, May 30, 2019

Hanzal, yes, we would happy to assist you by phone. You can reach us at 1-800-345-2677, extension 6904.

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