Delaware franchise tax payment service

All corporations incorporated in Delaware must file an Annual Report and pay a franchise tax. Exempt domestic corporations still must file an Annual Report. LLCs, LPs, and LLPs formed in Delaware do not file an Annual Report but must pay an annual tax, commonly $300. Foreign corporations have separate deadlines and fees. For corporations, the Annual Report and franchise tax are due on or before March 1 each year. For LLCs, LPs, and LLPs, the $300 annual tax is due on or before June 1 each year. Foreign corporations' Annual Reports are due on or before June 30. For 2026, the LLC filing window opens January 1, 2026, with tax due June 1, 2026; corporations are due March 1, 2026. Corporations calculate their franchise tax using one of two methods: the Authorized Shares Method or the Assumed Par Value Capital Method. Businesses should use the method that results in the lower tax. The minimum tax for the Authorized Shares method is $175, and for the Assumed Par Value Capital method, it is $400. The maximum tax is $200,000 for most filers, though some Large Corporate Filers may have a maximum of $250,000. Corporations owing $5,000 or more must make estimated payments: 40% by June 1, 20% by September 1, 20% by December 1, and the remainder by March 1. LLCs, LPs, and LLPs pay a flat annual tax of $300, due by June 1. Failure to pay or late payment incurs a $200 penalty plus 1.5% interest per month. Failure to file or pay timely typically results in a $200 penalty plus 1.5% interest per month on unpaid tax and penalties. Non-payment can affect good standing and lead to administrative consequences. Delaware mandates electronic filing for corporate Annual Reports and franchise tax payments through an online portal. Payment options include ACH (electronic payment) and major credit cards (Visa, MasterCard, AmEx, Discover). ACH Debit is required for transactions over $5,000, and the Division provides a Bank Identification Number. The online portal is used for filing and payment, and users are cautioned against multiple credit-card submissions to avoid duplicate charges. Practical tips for compliance include: confirming registered agent contact information as notices are sent in December/January; using Delaware’s Franchise Tax Calculator and comparing both calculation methods to minimize corporate tax liability; setting calendar reminders for multi-entity portfolios due to differing deadlines; and contacting the Franchise Tax Section before submitting for dissolution or reinstatement to ensure all taxes and reports are correctly addressed.