LLCs: a flat $400 a year
Every LLC formed or registered in Delaware, domestic or foreign, pays an annual tax of $400 and files no annual report. The tax for the past year is due on or before June 1, and Delaware doesn't prorate it: an LLC active on the Division's records at any time from January 1 to December 31 owes the year's tax. Limited partnerships and general partnerships formed in Delaware pay the same $400 on the same date.
| LLC, LP or GP | Domestic corporation | |
|---|---|---|
| Annual report | None | Due March 1, filed online |
| Tax | $400 a year | From $175 to $200,000 (or $250,000) |
| Due | June 1 | March 1 |
| Late | $200 plus 1.5% interest a month | $200 plus 1.5% interest a month |
The Secretary of State mails a statement of the tax, in care of the LLC's registered agent, at least 60 days before June 1.
If an LLC's tax isn't paid
A late or missed payment adds a $200 penalty, and interest runs at 1.5% a month on the tax and the penalty. An LLC that hasn't paid stops being in good standing, and a foreign LLC's registration ends; paying the tax with its penalties and interest restores either. Three years unpaid, the LLC's certificate of formation is canceled, on the third anniversary of the missed due date. A canceled LLC can be revived by filing a certificate of revival with its fee and paying the unpaid tax with its penalties and interest, and the revival validates what the LLC did while it was canceled. Closing the LLC doesn't skip the year: the full tax for the year the cancellation takes effect is due before the certificate can be filed.
Corporations: annual report and franchise tax
Every corporation incorporated in Delaware files an annual report and pays a franchise tax by March 1, online. The report costs $50, or $25 for an exempt domestic corporation, which files the report but pays no tax. The Division sends notices to every Delaware registered agent in December.
| Method | How the tax is figured |
|---|---|
| Authorized shares | $175 for 5,000 shares or fewer; $250 for 5,001 to 10,000; $85 more for each further 10,000 or part |
| Assumed par value capital | $400 per million of assumed par value capital or part, from issued shares and gross assets; at least $400 |
A corporation can use whichever method gives the lower tax, which for no-par stock is always the authorized shares method. Either way the tax is at most $200,000, or $250,000 for a corporation identified as a large corporate filer. One owing $5,000 or more pays estimated tax in installments: 40% by June 1, 20% by September 1, 20% by December 1 and the rest by March 1. Missing the March 1 report costs $200, plus 1.5% interest a month on unpaid tax. A foreign corporation registered in Delaware files its own annual report by June 30 for $250, and pays a $250 penalty when it's late.
How to pay
Pay on the Division of Corporations' site, which takes the LLC tax and the corporate filings daily between 8:00 a.m. and 11:45 p.m. Eastern, by bank account (ACH debit) or by Visa, Mastercard, American Express or Discover. Payments over $5,000 have to go by ACH. Our Delaware LLC name search links the state's entity search, to confirm the LLC's exact name and status first.
The Division also warns about deceptive solicitations, such as letters urging corporations to send $125 by a deadline to have their meeting minutes completed. The tax and the annual report go to the Division itself.
Sources
- Franchise taxes, corp.delaware.gov: corporate annual reports and taxes, foreign corporations, the LLC, LP and GP tax, and payment options
- How to calculate franchise taxes, corp.delaware.gov: the two methods, the minimums and the maximum
- Pay taxes and file the annual report, corp.delaware.gov: the online service, its hours, fees and penalties
- LLC, LP and GP tax instructions, corp.delaware.gov: the $400 tax, the due date and when it's assessed
- 6 Del. C. ch. 18, subchapter XI, delcode.delaware.gov: §§ 18-1107 to 18-1109, the tax, its notice, good standing, cancellation and revival
Read on October 11, 2026. The Division's pages have the final word.
Common questions
How much is the Delaware franchise tax for an LLC?
$400 a year, the same for every domestic and foreign LLC, due on or before June 1 for the year before. Delaware doesn't prorate it, and an LLC files no annual report.
When is the Delaware franchise tax due?
June 1 for LLCs, limited partnerships and general partnerships. March 1 for domestic corporations, with their annual report; a corporation owing $5,000 or more pays in installments from June 1.
What happens if a Delaware LLC doesn't pay?
A $200 penalty and 1.5% interest a month on the tax and penalty. The LLC stops being in good standing, and three years unpaid, its certificate of formation is canceled; it can be revived by paying what's owed.
How is a Delaware corporation's franchise tax figured?
By the authorized shares method, from $175 for 5,000 shares or fewer, or the assumed par value capital method, from $400, whichever is less; the most either charges is $200,000, or $250,000 for a large corporate filer.
Do I have to pay through a registered agent?
No. The Division of Corporations takes the payment online, from a checking account or by card, between 8:00 a.m. and 11:45 p.m. Eastern, and payments over $5,000 go by ACH debit.