LLC Annual Filing Requirements in New York

If you are looking to begin a New York issued limited liability company, you will need to prepare and file a number of documents with the state. This article is going to walk you through the various reporting and tax filing requirements that are needed for a New York LLC.

Annual Report

Unlike the vast majority of states, it is not mandatory in New York for an LLC to file annual reports. However, many LLCs will be required to pay annual fees in New York.

 

New York LLC Taxes

State Business Taxes and Fees

When considering income taxes, a large number of LLCs are known as pass-through tax entities. Generally speaking, this means that the responsibility in the payment of federal income taxes will pass through the LLC itself and go directly to the individual LLC members. In a number of states the LLC will not pay income taxes, only the members are required to.

NYC does impose an annual filing fee on both single member LLCs as well as typical multi-member LLCs. The amount of the fee that you will be charged is dependent upon the gross income of the LLC that is secured for the prior tax year. The are some LLCs who have no income, loss, or gain from New York that will not pay the annual fee. This fee can range from $25.00 to $4,500.00. The fee will be paid to the Department of Taxation which is also known as the Tax Department by filing form IT-204-LL. The form will need to be filed within 60 days after the last day of the LLC’s tax year. For more information, check out the DTF website.

There are times when owners of an LLC decide to have their business treated in the manner of a corporation solely for tax purposes as opposed to a disregarded entity or partnership. This choice can be made by filing form 2553. However, as opposed to the pass-through tax situation previously discusses, when the LLC elects being taxed as a corporation, the company will need to file a separate tax return. New York, like many other states, will directly tax corporations solely based on income. New Yorks’s corporation tax laws are rather complicated and with that being said there are a number of ways in which corporations can be taxed. However, if your LLC has been elected to be taxed as a corporation, the LLC will pay a form of tax directly to the state.

State Employer Taxes

Does your LLC have any employees? If the answer to that question is yes, you will need to pay employer taxes. These taxes will be paid to the federal government and will not be focused on in this article. However, employers will also need to pay taxes to the State of New York.

First, you will need to withhold and pay an employee income tax to DTF. Start with the registration of your company to the Department of Labor either through an online application or filing a traditional Form NYS-100. When you have registered, you will withhold taxes on a periodic basis. The amount and frequency will be largely dependent on how big your payroll is. You will use Form NYS-1 to file all payments. For more information about forms and payments, head to the DOL website.

Additionally, you will need to register in order to pay for state unemployment insurance taxes. These taxes will be handled by the Unemployment Insurance Division of the Department of Labor. These taxes can be registered online or through the filing of Form NYS-100. You will need to file Form NYS-45 on a quarterly basis. For more information about these taxes or forms, contact the Unemployment Insurance Division.

Sales and Use Taxes

If you have an LLC that is going to sell good to consumers in New York, you will need to collect and pay a sales tax. This will require you to register as a sales tax vendor and send off a periodic sales tax payment for any goods that have been sold. You may register online with the NYS License Center or file Form DTF-17 and send it in. Once you have registered, you will receive a sales tax certificate of authority for every business location. Then on either a quarterly or yearly basis, you will need to file either a form ST-100 or ST-101 with the DTF. Consult with the DTF website for more detailed information.

Registration in Other States

If you plan to do business in other states, you will need to register your LLC in either some or all of them. Whether you will need to register is going to be dependent upon the specific state, as each one has specific laws and rules as to doing business and whether you will need to register. Different activities such as hiring employees, having a physical location, soliciting business may all be considered practices that require a business to register. Registration will typically involve obtaining a certificate of authority or something of similar fashion.