California Annual Report | Lovie — US Company Formation

In California, most businesses, including LLCs and Corporations, are required to file a Statement of Information (often referred to as an annual report) with the California Secretary of State. This filing is crucial for maintaining active status and avoiding penalties. It provides updated information about your business, such as the names and addresses of your officers, directors, registered agent, and principal business address. Failing to file your Statement of Information on time can lead to significant consequences. The California Secretary of State may impose penalties and ultimately suspend or forfeit your business entity's right to operate in the state. This guide will break down everything you need to know about the California annual report, including who needs to file, when to file, how to file, and the associated costs. Understanding these requirements is a vital step in maintaining compliance for your California business.

Who Needs to File a California Statement of Information?

Virtually all business entities formed or registered to do business in California are required to file a Statement of Information. This includes Limited Liability Companies (LLCs), S-Corporations, C-Corporations, and Nonprofit Corporations. Even if your business is inactive or has not conducted any operations, you must still submit this report to remain in good standing with the state. For newly formed entities, the initial Statement of Information is due within 90 days of filing your formation

• LLCs, S-Corps, C-Corps, and Nonprofits must file.
• Initial filing is due within 90 days of formation.
• LLCs file biennially; Corporations file annually.
• Even inactive businesses must file.

California Statement of Information Filing Deadlines

Understanding the specific deadlines for your California Statement of Information is critical for maintaining good standing. For Limited Liability Companies (LLCs), the first Statement of Information is due within 90 days of filing your Articles of Organization with the California Secretary of State. Following this initial filing, LLCs must file a Statement of Information every two years. The due date is the anniversary month of your LLC's formation date. For example, if your LLC was formed on M

• LLCs: First filing within 90 days; then biennially on formation anniversary month.
• Corporations: First filing within 90 days; then annually on incorporation anniversary month.
• Missed deadlines incur penalties and risk administrative dissolution.
• Accurate record-keeping of formation dates is essential.

How to File Your California Statement of Information

Filing your California Statement of Information can be done through several methods, primarily online, by mail, or in person. The most efficient and recommended method is online via the California Secretary of State's website. The online portal allows for direct submission and often provides immediate confirmation of receipt. To file online, you will need your entity's 12-digit SOS Business ID number, which can be found on documents previously filed with the Secretary of State. You will then co

• Online filing via the CA Secretary of State website is fastest.
• Required information includes business address, registered agent, and management details.
• Mail-in or in-person filing is possible using downloadable forms.
• Have your 12-digit SOS Business ID ready for online submissions.

California Annual Report Fees and Penalties

There is a filing fee associated with the California Statement of Information. For LLCs, the fee is $20. For both for-profit and nonprofit corporations, the filing fee is also $20. This fee is payable at the time of filing. It's important to note that this filing fee is separate from the annual franchise tax levied by the California Franchise Tax Board (FTB), which is a minimum of $800 for most LLCs and corporations doing business in California, regardless of income. Failure to file your Statem

• The filing fee for the Statement of Information is $20 for LLCs and Corporations.
• A $250 penalty is assessed for late filings.
• This fee is separate from the $800 minimum annual franchise tax.
• Continued non-compliance can lead to business suspension or forfeiture.

Registered Agent Requirements for California Filings

A crucial piece of information required on your California Statement of Information is the name and address of your registered agent. A registered agent is an individual or business entity designated to receive official legal documents and government correspondence on behalf of your business. This includes service of process (lawsuit notifications), tax notices, and other official communications from the California Secretary of State and other state agencies. In California, your registered agen

• A registered agent is required to receive legal and official documents.
• The agent must have a physical California street address and be available during business hours.
• You can be your own agent, appoint an individual, or use a commercial service.
• Update your Statement of Information immediately if the registered agent changes.

California Franchise Tax Board vs. Secretary of State Filings

It's common for business owners to confuse filings required by the California Secretary of State (SOS) with those from the California Franchise Tax Board (FTB). While both state agencies are involved in business regulation, they oversee different aspects. The Secretary of State is primarily concerned with the legal formation and ongoing compliance of business entities, including the filing of formation documents and the Statement of Information (annual/biennial report). The Franchise Tax Board,

• Secretary of State handles entity formation and Statement of Information filings.
• Franchise Tax Board handles state taxes, including the minimum $800 annual franchise tax.
• Statement of Information filing ensures legal standing; franchise tax ensures tax compliance.
• Both are critical for operating legally and avoiding penalties in California.

Frequently Asked Questions

What is the difference between an annual report and a Statement of Information in California?

In California, the terms 'annual report' and 'Statement of Information' are often used interchangeably. However, technically, corporations file an annual Statement of Information, while LLCs file a Statement of Information biennially (every two years). Both serve the purpose of updating the Secretary of State on your business's key details.

Can I file my Statement of Information for free?

No, there is a mandatory filing fee of $20 for the California Statement of Information for both LLCs and corporations. This fee must be paid to the California Secretary of State at the time of filing.

What happens if I don't file my California Statement of Information?

Failure to file can result in a $250 penalty from the Secretary of State. Continued non-compliance can lead to your business being suspended or forfeited, meaning it loses its legal right to operate in California.

How do I update my registered agent on my California Statement of Information?

If your registered agent changes, you must file an amended Statement of Information with the California Secretary of State. This can be done online or by mail. Lovie can assist with filing amendments to ensure accuracy.

Does my business need to file a Statement of Information if it's inactive?

Yes, even if your business is inactive or has no operations, you are still required to file a Statement of Information with the California Secretary of State to maintain your entity's active status.

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