I got a $250 bill from Delaware LLC

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Subject Author Date I got a $250 bill from Delaware LLC teguh 05-22-2009  Re: I got a $250 bill from Delaware LLC bill-deja 05-25-2009  Re: I got a $250 bill from Delaware LLC Dick Adams 05-25-2009  Re: I got a $250 bill from Delaware LLC Stuart A. Bronstein 05-26-2009  Re: I got a $250 bill from Delaware LLC Paul Thomas, CPA 05-27-2009
Posted by teguh on May 22, 2009, 10:30 am Please log in for more thread options I am not a US citizen I don't live in US. I created an LLC some years ago. Then there is this rule in delaware that LLC is taxed at $250/year. I didn't get any letter first year and the next year I "owe" $600. What should I do? Should I withdraw all my money from US bank account. Will that work? I just want to disolve the LLC. -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Posted by bill-deja on May 25, 2009, 4:30 pm Please log in for more thread options On May 22, 7:30 am, te...@teguhbudimulia.com wrote: > I am not a US citizen I don't live in US. > > I created an LLC some years ago. > > Then there is this rule in delaware that LLC is taxed at $250/year. > > I didn't get any letter first year and the next year I "owe" $600. > > What should I do? > > Should I withdraw all my money from US bank account. Will that work? I > just want to disolve the LLC. >From http://corp.delaware.gov/paytaxes.shtml: Although Limited Partnerships, Limited Liability Companies and General Partnerships formed in the State of Delaware do not file an Annual Report, they are required to pay an annual tax of $250.00. Taxes for these entities are to be received no later than June 1st of each year. I belive that there is a $100 penalty for late filing (plus interest). http://www.corp.delaware.gov/webllc-can.pdf seems to give the procedure for cancelling a Delaware LLC. It looks like ther's a $100 fee. So, it looks like it'll cost you $700 to get rid of the LLC, or 800 after Friday. Hope this Helps Bill -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Posted by Dick Adams on May 25, 2009, 4:49 pm Please log in for more thread options > I am not a US citizen I don't live in US. > I created an LLC some years ago. > Then there is this rule in delaware that LLC is taxed at $250/year. > I didn't get any letter first year and the next year I "owe" $600. Another person who didn't get the letter, ;) > What should I do? > Should I withdraw all my money from US bank account. > Will that work? I just want to disolve the LLC. Delaware has a lot of corporations that get formed and neglected. Their collection procedures are not as tenacious as California's. Which means they will not send a bounty hunter looking for you. But if you do not pay the bill and close the LLC, you will be billed again every year with compunding interest and penalties. That means if you ever enter the United States, they may be waiting for you. ;) My advice is to pay the bill now and avoid the consequences. Dick -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Posted by Stuart A. Bronstein on May 26, 2009, 11:19 am Please log in for more thread options rdadams@panix.com (Dick Adams) wrote: > Delaware has a lot of corporations that get formed and neglected. > Their collection procedures are not as tenacious as California's. > Which means they will not send a bounty hunter looking for you. > But if you do not pay the bill and close the LLC, you will be > billed again every year with compunding interest and penalties. > That means if you ever enter the United States, they may be > waiting for you. ;) > > My advice is to pay the bill now and avoid the consequences. I don't know about Delaware, but in California the minimum tax is a tax on the LLC or corporation, not its incorporators or shareholders. As a result if it goes out of business, the state will only go after the organization for the taxes. To do that they will suspend it from being able to transact business, but if it's out of business that's no problem. In some cases people feel the need to formally dissolve the organization. In that case they need to pay the tax or the state won't let them dissolve it. But if the owners are happy to just let it die an unnatural death, eventually the tax bills stop coming, and there is no personal liability for them. Stu -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Posted by Paul Thomas, CPA on May 27, 2009, 10:30 am Please log in for more thread options > rdadams@panix.com (Dick Adams) wrote: > >> Delaware has a lot of corporations that get formed and neglected. >> Their collection procedures are not as tenacious as California's. >> Which means they will not send a bounty hunter looking for you. >> But if you do not pay the bill and close the LLC, you will be >> billed again every year with compunding interest and penalties. >> That means if you ever enter the United States, they may be >> waiting for you. ;) >> >> My advice is to pay the bill now and avoid the consequences. > > I don't know about Delaware, but in California the minimum tax is a tax > on the LLC or corporation, not its incorporators or shareholders. As a > result if it goes out of business, the state will only go after the > organization for the taxes. To do that they will suspend it from being > able to transact business, but if it's out of business that's no > problem. > > In some cases people feel the need to formally dissolve the > organization. In that case they need to pay the tax or the state won't > let them dissolve it. But if the owners are happy to just let it die > an unnatural death, eventually the tax bills stop coming, and there is > no personal liability for them. The same procedure in Georgia (not paying the annual renewal fee) will end up dissolving the corporation. Or you can pay up and pay the dissolution fees. In this economy it's a no brainer. -- Paul Thomas, CPA www.paulthomascpa.com 770-725-1433 Office -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Similar Threads Posted Qn on the new housing bill August 3, 2008, 2:38 pm LLC in delaware January 12, 2007, 3:06 am Tax law in Delaware? December 27, 2007, 7:07 am T-Bill purchases at less than face value February 14, 2007, 10:21 pm Treasury Bill Interest vs Return February 21, 2008, 10:28 am Receiving bill for underpayment penalty? 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