Every LLC and corporation formed or registered in California owes at least $800 a year to the Franchise Tax Board, even with no income. An LLC pays its first $800 by the 15th day of the 4th month after it is formed, using Form FTB 3522, then by the 15th day of the 4th month of each tax year (April 15 for calendar-year LLCs). Corporations are not charged the $800 minimum in their first tax year.
LLCs: the annual tax
The $800 is paid with the LLC Tax Voucher, Form FTB 3522. The first payment is due by the 15th day of the 4th month from the date the LLC is formed, counting the formation month as month one. After that, it is due by the 15th day of the 4th month of each tax year. If a due date falls on a weekend or holiday, it moves to the next business day.
| LLC formed | First $800 due | Next $800 due |
|---|---|---|
| March 10, 2026 | June 15, 2026 | April 15, 2027 |
| October 20, 2026 | January 15, 2027 | April 15, 2027 |
| January 5, 2027 | April 15, 2027 | April 17, 2028 (April 15 is a Saturday) |
Calendar-year LLCs shown. The first-year exemption that applied to LLCs formed from 2021 through 2023 has ended.
LLC fee. LLCs with California gross receipts of $250,000 or more also pay an LLC fee, estimated on Form FTB 3536 by the 15th day of the 6th month of the tax year. See California LLC cost for the amounts.
15-day rule. If an LLC’s first tax year is 15 days or less and it does no business during that time, it does not owe the annual tax for that short year. Ask a CPA before relying on it.
Corporations: the minimum franchise tax
A corporation pays the greater of its tax on net income or the $800 minimum. A newly incorporated or newly qualified corporation is not charged the $800 minimum in its first tax year, but it pays tax on any income at 8.84 percent (C corporation) or 1.5 percent (S corporation). From the second year, the minimum is paid with the first quarterly estimated payment, on Form 100-ES, due by the 15th day of the 4th month of the tax year.
How to pay
- FTB Web Pay: pay online from a bank account at ftb.ca.gov, with no fee.
- Credit card: through the FTB’s card processor, which charges a fee.
- Mail: a check with the voucher (Form 3522 for LLCs, Form 100-ES for corporations).
Unpaid tax leads to penalties and interest, and the FTB can suspend a company, which takes away its right to do business in California. Put the first due date on your calendar the day your company is approved.
Sources: Franchise Tax Board, LLCs; Franchise Tax Board, payment options. We are not a tax firm; this is general information.
Questions
Do I owe the $800 if my LLC made no money?
Yes. The $800 annual tax is owed for every year the LLC is formed or registered in California, regardless of income, until it is formally cancelled.
Do I pay the $800 to the Secretary of State?
No. The $800 goes to the Franchise Tax Board. The Secretary of State handles formation and Statements of Information.
Does an LLC taxed as an S corporation still pay the $800?
Yes. An LLC that elects corporate tax treatment pays the corporate minimum franchise tax instead. Your CPA can confirm the forms.
Last reviewed October 18, 2026 against California Secretary of State and Franchise Tax Board sources. This page is general information, not legal or tax advice.