Do you have to pay the $800 California LLC fee the first year?

Do you have to pay the $800 California LLC fee the first year? by @R44D

Answer by Raad Ahmed:

Hey that’s a common question we get from new California LLCs at LawTrades. In short, yes is the answer. Here is language straight from the California Franchise Tax Board:

  • All LLCs (not classified as a corporation) that are doing business in California, or file an article of organization or certificate of registration with the Secretary of State must file Form 568, Limited Liability Company Return of Income, pay the annual minimum franchise tax of $800, and LLC fee (if applicable).
  • LLCs that have to file in California to report California source income but are not subject to the minimum franchise tax of $800 and the LLC fee (see above rules), must file Form 565, Partnership Return of Income, instead of Form 568, Limited Liability Company Return of Income.

If you run into any other legal compliance questions feel free to turn to LawTrades. We’re a legal platform that connects entrepreneurs to quality lawyers for a price that meets your budget. We offer free consultations & no obligation price quotes!

Do you have to pay the $800 California LLC fee the first year?

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