I got a $250 bill from Delaware LLC

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).

Another person who didn't get the letter, ;)

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

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 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.