New York LLC Annual Filing Requirements

Learn about New York LLC annual report and tax filing procedures.

If you wish to create and maintain a limited liability corporation (LLC) in New York, you’ll need to prepare and submit a number of paperwork with the state. This article discusses the most significant New York LLC continuing reporting and state tax filing obligations.

Report Annual

In contrast to the majority of other states, New York does not require LLCs to produce an annual report. However, many LLCs in New York are required to pay an annual fee (see below).

Business Taxes and Fees in Each State

Most LLCs are pass-through tax corporations when it comes to income taxes. In other words, the burden for paying federal income taxes is passed via the LLC to the individual LLC members. In most states, LLCs pay no income taxes; only its members do.

In New York, however, both ordinary single-member LLCs (with the default tax status of disregarded company) and typical multi-member LLCs must pay an annual filing fee (with the default tax status of partnership). The filing fee is calculated based on your LLC’s gross revenue earned in New York during the previous tax year. Some LLCs, such as those with no New York revenue, gain, loss, or deduction, are exempt from paying the charge. The price might vary from $25 and $4,500. Form IT-204-LL is used to pay the charge to the Department of Taxation and Finance (DTF; sometimes known as the Tax Department). The form must be submitted within 60 days after the end of your LLC’s fiscal year.

In certain circumstances, LLC owners elect to have their firms classified as corporations for tax reasons (instead of as a partnership or disregarded entity). This decision is made by submitting IRS Form 2553 to the IRS. (The form is available on the IRS website.) When an LLC elects to be taxed as a corporation rather than as a pass-through entity, the firm must submit a separate tax return. The state of New York, like practically every other state, taxes companies directly based on their revenue (usually). The company tax regulations in New York are quite intricate, and firms may be taxed in a variety of ways. However, if you have opted to have your LLC taxed as a corporation, your LLC will be required to pay some type of state tax.

Employer Taxes in the State

Do you have workers in your LLC? If this is the case, you must pay employer taxes. Some of these taxes are paid to the federal government (the IRS) and are not addressed in this section. (However, it is important to understand that federal employer tax duties begin with getting a federal employer identification number (EIN).) Employers in New York, however, must additionally pay state taxes.

To begin, you must withhold and pay employee income taxes to the DTF. Begin by registering your company with the Department of Labor (DOL), either online or in print form (Form NYS-100). After you’ve enrolled, you must submit withholding taxes on a regular basis (the frequency depends in part on how much payroll you have). To submit your payments, use Form NYS-1.

You’ll also need to register to pay state unemployment insurance (UI) taxes. These taxes are collected by the DOL’s Unemployment Insurance Division. These taxes may be registered for online or by submitting Form NYS-100. Then, on a quarterly basis, you must submit Form NYS-45. Visit the Unemployment Insurance Division’s website for further information.

Taxes on Sales and Use

If your LLC sells items to clients in New York, you must collect and remit sales tax. This implies you’ll have to register with the DTF as a sales tax vendor and then make periodic sales tax payments for products sold. You may register using Form DTF-17 or online at the New York State License Center. Following registration, you will get a sales tax certificate of authorization for each company location. Then, depending on the volume of sales, you must submit Form ST-101 or ST-100 with the DTF each year or quarter.

Other States Registration

If you want to do business in states other than New York, your LLC may need to be registered in any or all of those states. The exact states concerned will determine if you are needed to register: each state has its own regulations for what defines conducting business and whether registration is required. For registration reasons, having a physical presence (a business location) in a state, recruiting personnel in a state, or soliciting business in a state (through telephone, print advertisements, mail, or the Internet) are sometimes considered conducting business. Obtaining a certificate of authority or comparable document is normally required for registration.