California LLCs: Common Questions

What is an LLC?

Is there an annual tax?

What is the annual fee and filing requirements?

Can a California LLC have nonresident members?

What are an LLC’s California filing requirements?

Do I have to file a California Schedule K-1 (568) to report a Member’s Shares of Income, Deductions, Credits, Etc.?

Can I get an extension of time to file?

What does “Doing business in California” mean?

How does the California Franchise Tax Board handle it’s LLC billings and notices?

How do I cancel my LLC’s registration?

What is a “Short Form Cancellation”?

Where can I get forms and where do I mail them?

How do I organize or register an LLC?

I never did any business or even opened a door, bank account or anything. Why do I owe the $800 annual tax?

I stopped doing business in California; what do I need to do to stop the requirement to pay the annual tax?

How are the fees calculated?

How do I complete the LLC Income Worksheet?

What is a protective claim?

What are the procedures for filing an LLC fee protective claim?

I’m a corporation that converted to an LLC during the current year. Am I liable for the tax as a corporation and as an LLC in the same year?

If I’m classified as a partnership for federal purposes and file federal Form 1065 U.S. Partnership Return of Income, why am I required to file Form 568 Limited Liability Company Return of Income, instead of Form 565 Partnership Return of Income, for state purposes? And, do I still have to pay the fees?

If I have nonresident members, and cannot get all their signatures on the consent release form, can I still file the return?

What is a Series LLC and how does it file in California?

For answers to these and other questions, please contact Mitchell A. Port at 310.559.5259. You can also look at the California Franchise Tax Board site for answers by clicking here.