LLC Taxes Due April 15 Even with Extension to File

A single-member limited liability company (SMLLC) is a disregarded entity for federal income tax purposes. But for state law purposes, California SMLLCs are separate legal entities that are subject to paying the $800 minimum franchise tax (and if gross receipts are $250,000 or more, the LLC fee) and to filing an FTB Form 568.

Normally, a disregarded SMLLC must file FTB Form 568 at or before the same time that the owner is required to file his or her personal tax return.  Although California grants an individual an automatic extension of time to file a return, an extension of time to file is not an extension of time to pay any tax due.

This year, although the Franchise Tax Board has postponed to May 17, 2021, the state tax filing and payment deadlines for individual taxpayers, this postponement applies solely to individual taxpayers. SMLLCs do not benefit from this postponement.  Therefore a SMLLC owned by an individual is required to file Form 568 on or before April 15 and pay any tax due.

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