When is the Arkansas LLC Annual Franchise Tax Report due?
The Arkansas LLC Annual Franchise Tax Report is due by May 1st every year. When is the first Annual Franchise Tax Report due? Your LLC’s 1st Annual Franchise Tax Report is due the year after your LLC effective date, which is the date your LLC went into existence (the date your LLC was approved). In Arkansas, this is called the “ Date Filed “.
Do I pay a franchise tax in Arkansas?
However, they do not pay a franchise tax. Businesses can file their reports and pay the Annual Franchise Tax online via the Arkansas Secretary of State website. Alternatively, business owners can file by mail to the Business and Commercial Services Division at:
When do I need to file my annual Franchise Tax Report?
You can file your LLC Annual Franchise Tax Report as early as January 1st each year. Again though, your first Franchise Tax filing year doesn’t start until the year after your LLC is approved. Will my LLC get a reminder to file and pay the Annual Franchise Tax Report?
When do I have to pay my franchise tax?
The obligation to pay the tax begins the year after the business entity was formed and must be filed each year by May 1. Businesses may file and pay their Annual Franchise Tax as early as January 1.
What happens if you don't pay franchise tax Arkansas?
If you don't pay your Arkansas Franchise Tax for three years, your LLC will enter revoked status.
Do I have to pay franchise tax in Arkansas?
§ 26-54-101 et al., also known as the “Arkansas Corporate Franchise Tax Act of 1979”, requires all Corporations, LLC's, Banks, and Insurance Companies registered in Arkansas to pay an annual franchise tax.
How much is the annual franchise tax in Arkansas?
$150Corporate Franchise TaxFranchise Tax TypeCurrent RateCorporation/Bank without Stock$300Limited Liability Company$150Insurance Corporation Legal Reserve Mutual, Assets Less Than $100 million$300Insurance Corporation Legal Reserve Mutual, Assets Greater Than $100 million$4005 more rows
How is Arkansas franchise tax calculated?
Arkansas LLCs and corporations without stock will pay a fixed amount for their franchise tax. Corporations with stock, however, will pay 0.3% of their total outstanding capital stock OR $150 – whichever is greater.
How do I pay my business taxes in Arkansas?
New users sign up at www.atap.arkansas.gov or click on the ATAP link on our web site www.dfa.arkansas.gov. ATAP is a web-based service that allows taxpayers, or their designated representative, online access to their tax accounts and related information.
How much are LLC taxes in Arkansas?
All LLCs operating in Arkansas must file an annual report and pay a flat-rate tax of $150 each year. The $150 tax and the annual report together are known as the Annual LLC Franchise Tax Report.
Does Arkansas have an annual report?
In the state of Arkansas, every business entity is required to complete an annual report filing. Arkansas requires that you file by May 1st of each year, otherwise you may fall into noncompliance and face fees and penalties.
How much does it cost to start an LLC in Arkansas?
How much does it cost to form an LLC in Arkansas? The Arkansas Secretary of State charges a $45 fee to file the Articles of Organization online and $50 if filed by mail. You can reserve your LLC name with the Arkansas SOS for $25 if filed by mail or $22.50 if filed online.
What is a franchise tax report?
As a registered business entity, a company gains personal liability protection for its owners, certain tax deductions, business name protection, and possibly other benefits. In exchange for this protection, the state serves a tax and it is managed via the annual franchise tax report.
Is Arkansas getting rid of state income tax?
Rates. The top individual income tax rate in Arkansas is reduced from 5.5% to 4.9% for tax years beginning on or after January 1, 2022, and the corporation income tax rate imposed on both domestic and foreign corporations is reduced from 5.9% to 5.3% for tax years beginning on or after January 1, 2023.
What is Arkansas state income tax?
Arkansas has a graduated individual income tax, with rates ranging from 2.00 percent to 5.50 percent. Arkansas also has a 1.0 to 5.9 percent corporate income tax rate.
What is SOS filing number Arkansas?
For assistance with this form contact Business and Commercial Services by phone 501-682-3409, toll free 888-233-0325 or by email, [email protected]. Arkansas Secretary of State.
What is Arkansas state income tax?
Arkansas has a graduated individual income tax, with rates ranging from 2.00 percent to 5.50 percent. Arkansas also has a 1.0 to 5.9 percent corporate income tax rate.
Do nonprofits pay franchise tax in Arkansas?
Other Business Entity Types Other business entities, nonprofits, limited partnerships (LPs), limited liability partnerships (LLPs), and limited liability limited partnerships (LLLPs) must file an annual report. However, they do not pay a franchise tax.
What is SOS filing number Arkansas?
For assistance with this form contact Business and Commercial Services by phone 501-682-3409, toll free 888-233-0325 or by email, [email protected]. Arkansas Secretary of State.
Does Georgia have a franchise tax?
Corporations – Due Date: March 15 (S Corps) or April 15 (C corps) Georgia imposes a net worth tax (like a franchise tax) in addition to the corporate income tax. The net worth tax is based on a corporation's issued capital stock, paid-in surplus, and earned surplus employed within Georgia.
How much is the Arkansas LLC franchise tax?
Arkansas LLC Franchise Tax is a “privilege tax”. Meaning, it’s a flat-rate tax of $150 per year for the privilege to do business in the state. The purpose of the tax is to generate revenue for the State of Arkansas. Again, the $150 tax is due every year (starting after the year of LLC formation), whether or not your LLC makes any money ...
What is the purpose of the Arkansas state tax?
The purpose of the tax is to generate revenue for the State of Arkansas.
What is the annual report for an LLC in Arkansas?
Note: Most states have an LLC Annual Report that must be filed every year. The Annual Report in Arkansas is called the Annual Franchise Tax Report. There is no other “annual report” for an Arkansas LLC.
What happens if an LLC ignores the Franchise Tax Report?
If your LLC continues to ignore the Annual Franchise Tax Report requirement, the state will send you a final warning called the “Notice of Subject to Forfeiture”. If the Annual Franchise Tax Report is still not filed, the state will revoke the LLC’s corporate charter and authority.
What happens if an LLC is not filed?
If the Annual Franchise Tax Report is still not filed, the state will revoke the LLC’s corporate charter and authority. This strips the LLC of its power, rights, and protections. [ Section 26-54-111]
How to contact Arkansas Secretary of State?
Arkansas Secretary of State Contact Info. If you have any questions about Annual Franchise Tax, you can contact the Arkansas Secretary of State at 501-682-3409. Their hours are Monday through Friday, 8am – 4:30pm Central Time.
When are LLC tax returns due?
Example 1: If your LLC went into existence on January 10, 2021, your LLC’s first Annual Franchise Tax Report is due by May 1, 2022.
What is an Arkansas Franchise Tax Report?
Regardless of business activity or income, all Arkansas limited liability companies (LLCs) must file reports and pay $150 annually. Combined, these two aspects become the annual LLC franchise tax report.
How to pay Arkansas franchise tax?
You can submit payment as early as Jan. 1. To pay by mail, download the annual franchise tax PDF form. Make a check or money order out to the Arkansas Secretary of State and mail along with your paperwork.
What are the taxes on income?
The tax rates increase depending upon the higher amounts of income, with the breakdown as follows: 1 Net income up to $3,000 taxed at 1 percent 2 Net income from $3,001 to $6,000 taxed at 2 percent 3 Net income from $6,001 to $11,000 taxed at 3 percent 4 Net income from $11,001 to $25,000 taxed at 5 percent 5 Net income from $25,001 to $100,000 taxed at $940, plus 6 percent of any amount more than $25,000 6 Net income of more than $100,000 taxed at $5,440, plus 6.5 percent of the amount more than $100,000
What is the minimum franchise tax for an LLC?
Income goes to each LLC member, and these members pay federal and state taxes. LLCs also must pay the minimum corporation franchise tax of $150.
How much tax do you pay for a business?
In addition, tax rates typically vary among each state, with corporate rates ranging from 4 to 9 percent. A few states don't have corporate income taxes.
What is the tax rate for income from $25,001 to $100,000?
Net income from $25,001 to $100,000 taxed at $940, plus 6 percent of any amount more than $25,000
When are Arkansas business taxes due?
If your tax year follows the calendar year, your payment is due March 15. As stated, Arkansas businesses must pay taxes, and the type they pay depends upon their franchise type: Arkansas corporations: This type of entity must submit the state's corporation franchise tax and graduated corporate income tax.
Where to file Arkansas franchise tax?
Businesses can file their reports and pay the Annual Franchise Tax online via the Arkansas Secretary of State website . Alternatively, business owners can file by mail to the Business and Commercial Services Division at:
When do you have to pay franchise tax?
Businesses may file and pay their Annual Franchise Tax as early as January 1.
What happens if a business fails to file a tax return?
If a business fails to file or files past the May 1 deadline, it may be subject to penalties, interest, or worse!
Can Arkansas revoke a company's franchise?
Worst Case: The state might even revoke a company’s authority to do business in Arkansas if it continues to ignore its franchise tax reporting and payment responsibilities.
When are Arkansas state taxes due?
The due date for filing your Arkansas Individual Income Tax return is April 15. If April 15 falls on a weekend or a holiday, your return is due on the next business day. If you file a federal or State of Arkansas Extension and you file your return before the deadline, you will not be charged for any late filing penalties for filing ...
When do you file an AR1055 extension?
This form must state a reason for the extension and be postmarked on or before April 15.
Do you have to file a state extension if you have already filed a federal tax return?
If you have already filed a federal extension, you do not have to file a state extension.