Business owners are required to file an annual statement and payment of state taxes by April 30th. Failure to do so will result in removal from existence. If you fail to file a report, you could face fines and penalties beginning May 16.
If you operate as a sole proprietorship, partnership, corporation, limited liability company or another type of entity, here are some things you need to know about filing an annual report:
1. You must register your Michigan business name with the Secretary of State within 10 days of opening your business.
2. You must file an annual report with the Secretary of State no later than April 30th.
3. You must make sure that your annual report includes information regarding your business address, mailing address, principal place of business, federal employer identification number, date of formation, date of expiration, and whether you filed a previous annual report.
4. You must include copies of your most recent federal tax return, along with your application form, if applicable.
Table of Contents
An annual statement must be filed annually with the Secretary of State for each limited liability company (LLC). This includes sole proprietorships, partnerships, corporations, and limited liability companies.
Fees include filing fee ($20), corporate franchise tax ($50 per $1 million of assessed value), and annual statement fee ($25).
The filing deadline is July 31st.
For more information about LLC filings, please contact us.
State Business Tax
Most LLCs are passthrough entities, meaning that the Internal Revenue Service does not require them to pay income taxes. In addition, state taxes vary widely across the United States. Some states impose a franchise tax, while others do not. Finally, many states impose a local property tax.
State Employer Taxes
Withholding taxes include Social Security, Medicare, federal income tax, and unemployment insurance. If you withhold too much money, it could mean penalties.
If you don’t pay enough withholding taxes, you might end up owing some money to Uncle Sam.
You must withhold taxes based on the number of hours worked each week. This includes overtime, bonuses, tips, and commissions.
The IRS requires employers to collect social security and Medicare taxes on behalf of workers. These are paid into special accounts called “trust funds.”
Your employer must deduct both kinds of taxes from every employee’s paycheck. And they’re supposed to send those withheld amounts directly to the government.
But what happens if you don’t do it correctly? Here’s how to avoid problems.
Sales and Use Taxes
Businesses must collect sales and use taxes on goods sold and used within New York state. This includes online purchases, mail order purchases, and purchases made at retail stores. If you sell products from outside New York state, you must collect sales and use taxes from customers in New York state. You may deduct those taxes from the amount owed to New York state.
Registration in another State
Reserving you to take any particular action to set up an LLC. However, there are exceptions. If you plan to operate your company outside of your home state, you may need to register your entity in that state. You might also need to obtain a certificate of authority in that state if you want to register in another state.LLC Post-Filing Requirements
An LLC is a limited liability company. This type of entity protects owners and managers. In addition, it allows members to limit personal liability. If you want to incorporate your business in Michigan, you must file certain documents with the Secretary of State. These documents include articles of organization, annual reports, and operating agreements. You can find out how to do this here.
Michigan LLC Fees or Requirements
If you want to form an LLC in Michigan, there are several fees and requirements that you will need to meet. Some of these fees are mandatory, while others are optional. And some states require certain documents to be filed before starting an LLC.
There are three main types of fees that you might incur when forming an LLC. These include:
1. Filing fees
2. Annual reporting fees
3. Other fees
Let’s take a look at each type of fee individually.
Filing Fees Assumed Name or DBA
To obtain assumed names, you need to file a certificate of assumed name (CAAN), which requires a fee. You will need to provide proof of identity and residency. If you want to use a trade name, you need to register it with the county clerk’s office.
Changing the Registered Agent
Incorporating a business requires registering it with the state. One must provide information about the entity, including the name, address, principal place of business, date incorporated, and the names and addresses of the officers. In addition, one must file a Certificate of Formation with the Secretary of State. This document includes a statement of purpose, corporate purposes, and list of directors.
The most common reason for changing the registered agent is to update contact information. For example, a person might move out of state or become inactive as a director. However, there are some reasons why you might want to change the registered agent.
If the registered agent cannot be found, the Secretary of State will send notice to the last known address of the registered agent. Suppose no response is received within 30 days. In that case, the Secretary of State can assume that the registered agent is dead or incapacitated and can proceed to serve the papers on another agent.
A change of registered office will also require a new certificate of incorporation. In this case, the registered agent will forward the documents to the Secretary of State, along with proof of payment of the filing fee.
As long as the original document is filed, the new registration will take effect upon receipt of the documents.a
Reserving a Name for Your LLC
The Michigan Department of Licensing and Regulatory Affairs (LARA) provides free assistance with reserving names for limited liability companies (LLCs). To reserve a name, you must file a form called “Application for Registration of Reserved Name.” You can download it here. This form requires basic information about yourself and your business. Once completed, send it to LARA along with the required fee ($100). If you are unable to pay online, you can mail a check payable to the state of Michigan.
After receiving your application, LARA will review it and contact you regarding whether your proposed name is available. If your name is unavailable, you will receive a letter explaining why. You will receive a certificate showing your reservation status if your name is available. You must keep your certificate for three years.
Frequently Asked Questions
How to Obtain a Certificate of Good Standing in Michigan
The process for obtaining a certificate of good standing differs depending on the business entity you are operating. If your business is incorporated, you must file an application with the Secretary of State’s office and pay a fee. If your business is not included, you can obtain a certificate of good standing by filing an affidavit with the county clerk.
How Much Does It Cost to Start an LLC in Michigan?
Starting a business is one of the most exciting things you can do. But it’s also one of the most expensive, and that’s why many people choose not to start their own businesses. If you want to start your own business but don’t have the money to invest upfront, then you may be wondering how much does it cost to start an LLC in Michigan.
What Is a Michigan LLC?
An LLC is a business entity that allows you to form your own company. It’s similar to an S-Corp, but it has some advantages over the traditional corporation. An LLC can be used for any type of business and is not limited by state law as corporations are. However, there are certain requirements that must be met in order to create one.
James Rourke is a business and legal writer. He has written extensively on subjects such as contract law, company law, and intellectual property. His work has been featured in publications such as The Times, The Guardian, and Forbes. When he’s not writing, James enjoys spending time with his family and playing golf.