Don’t let tax season overwhelm you. Utilize these nine resources to help you take the stress out of preparing your taxes for Uncle Sam. April really is the cruelest month. But when British poet T.S. Eliot immortalized those famous words in his literary
Can you submit your forms now and request a delayed filing (also called a “delayed effective date”)? After all, the end of the year tends to be ultra-busy, and who wants to be completing forms and managing all the details in the midst of that chaos? Fortunately, most states offer the option of a delayed filing, whereby business owners either complete a field on their business registration form or add a provision to request an effective date in the future.
What is a Delayed Filing
With a typical business registration filing, an LLC or corporation becomes effective on whatever date the state processes the company’s forms. The amount of time may vary between only a few days to several weeks depending on what services are requested. If expedited, a filing will typically be completed within 5 – 10 business days.
A delayed filing, however, provides control over when a corporation or LLC goes into effect. In states that allow delayed effective dates, business owners can set the date when they want their company to be officially recognized.
- Avoid paying state franchise taxes for the year in which registration forms were submitted
- Have ample time to sort out other requirements
- Creating operating agreements, establishing a board of directors
Different states have different rules as to how far in advance they will receive a delayed filing. Usually, the requirement is to file between 30 to 90 days before the desired effective date. So, for business owners wanting an effective date of January 1, 2019, now is an excellent time to check out the rules that apply to them as we’re in that 30- to 90-day window now. Check with your state or contact my team at CorpNet to find out how far in advance you can file.