California LLCs · checked 27 October 2026
California LLC $800 annual tax: who pays, when, and how to stop it
Every LLC formed in California, registered there, or doing business there owes an $800 annual tax to the Franchise Tax Board, even with no income. It's due by the 15th day of the 4th month of the tax year and keeps coming every year until the LLC is cancelled.
Who owes it
- LLCs whose articles of organization were accepted by the California Secretary of State.
- Out-of-state LLCs registered with the Secretary of State to do business in California.
- LLCs doing business in California under the FTB's rules, even if not registered there.
Having no sales doesn't remove it. There's no general first-year exemption any more; the one that existed applied only to tax years 2021 to 2023.
When it's due
- By the 15th day of the 4th month of the LLC's tax year. For a calendar-year LLC, that's 15 April. A brand-new LLC's first year starts when its articles are filed.
- Pay with Form FTB 3522, or online with Web Pay for Businesses at ftb.ca.gov/pay (if you use Web Pay, don't also send Form 3522).
- Late payment brings a penalty plus interest from the due date.
Bigger LLCs pay an extra fee
On top of the $800 tax, an LLC with California gross receipts of $250,000 or more pays a separate LLC fee (Form FTB 3536), from $900 upwards. The LLC also files Form 568 each year.
Foreign owners with a US LLC
A Wyoming, Delaware or New Mexico LLC owned from abroad usually doesn't owe the California tax unless it registers in California or does business there. If you registered it in California by mistake, it owes $800 a year until you cancel the registration. Your US federal filings, such as Form 5472, are a separate question.
How to stop it
The tax is owed every year until a certificate of cancellation is filed with the Secretary of State. The FTB explains dissolving and cancelling in FTB Publication 1038.
Check everything my company owes
Next: Delaware $300 tax · Texas franchise tax · LLC with no income · closing a foreign-owned LLC.
Source: California Franchise Tax Board, 2026 Form FTB 3522 and instructions; FTB "Limited liability company" page. Read 27 October 2026. General information, not tax advice.