Delaware Franchise Tax: Everything You Need For Your LLC To Know In Apr. 2026

Delaware offers business-friendly tax laws and a specialized business court system, making it a fantastic state to choose when forming and managing a Limited Liability Company (LLC). However, you still have state regulatory and legal requirements and taxes to comply with.

One of them is the Delaware Annual Franchise Tax. This is a fee that every Delaware-registered corporation and LLC must pay annually to maintain good standing with the Delaware Division of Corporations.

In this article, I’ve explained everything you need to know about the Delaware Franchise Tax, including key filing deadlines, who should pay it, and potential penalties for non-compliance.

An Overview Of The Delaware Annual Franchise Tax

The Delaware Annual Franchise Tax is a flat $300 mandatory state fee that applies to every LLC registered in Delaware. You need to pay this fee even if you’ve earned no income or conducted no operations during the year.

You can only pay this fee via Delaware Franchise Tax payment portal. Scroll down to see my step-by-step guide.

1. Delaware Franchise Tax Due Date

You must pay your Delaware Franchise Tax payment each year on or before June 1. Payments should be addressed to the Delaware Division of Corporations. Your first payment is due in the calendar year after your LLC was officially approved.

Example: Your Delaware LLC was formed on September 15, 2026. Your first Annual Franchise Tax payment is due on June 1, 2027. This deadline applies every after.

2. Penalties For Late Or Missed Delaware Franchise Tax Filings

You’ll be charged a $200 penalty by the State of Delaware if you fail to pay your Delaware Annual Franchise Tax or make a late payment. You’ll also accrue interest at a rate of 1.5% of the total amount due every month. This includes the Delaware Annual Franchise Tax and the penalty fee.

You don’t pay your Annual Tax fee or fail to maintain a Registered Agent, you may risk losing good standing with the Delaware Division of Corporations.

If you need help understanding this requirement, read my Best Registered Agents In Delaware guide.

This can prevent you from filing amendments, conducting official business, and obtaining certificates. You’ll need to pay all outstanding amounts before resuming normal business operations.

How To Pay Your Delaware Annual Franchise Tax

You have to use the online method when submitting your Delaware Annual Franchise Tax fee. There is no mailing or fax method, unfortunately.

The online process is pretty straightforward, only taking a few minutes to complete. Here’s my step-by-step guide on how to do it:

1. Navigate To The State Franchise Tax Payment Portal

Your first step is to navigate to the Delaware Corporations Information System using the state’s official Franchise Tax payment page. The Delaware Division of Corporations provides this secure online portal for filing and paying your Annual Franchise Tax as an LLC, corporation, or partnership.

2. Input Your LLC’s File Number

The next step is pretty self-explanatory:

1. Enter your Business Entity File Number.
2. Click “Continue” to access your LLC’s tax record.

This number, also called your File Number, is required to make your online payment.

3. Review Your Tax And Fees Due

Once the system has found your File Number, your relevant tax and fee details will be displayed on the screen.

1. Check that your Annual Franchise Tax amount is correct.
2. Click “Pay Taxes” to proceed to the payment page.

4. Submit Your Payment

Once you’ve checked that everything is correct, your last step is to enter your payment information. Select “Pay Full Amount” at the top of the screen to pay your full Annual Franchise Tax fee.

You can choose to pay a smaller amount if you want. However, paying less than the total due could result in becoming delinquent with the state.

• Select your preferred payment method (ACH or credit card).
• Enter your payment details, billing address, and contact information.

Make sure that you check the authorization box to approve an electronic debit from your account if you’re paying using ACH. If you don’t, any failed or returned payments incur a $50 returned item fee.

Click the “Submit” button to finalize your payment once everything is complete. Your Delaware Annual Franchise Tax has been filed.

5. Receive Your Confirmation Email

You will receive a confirmation email from the State of Delaware once you’ve submitted your payment. This verifies that the payment was successful and you’ve paid the Franchise Tax for Delaware.

No further action is required for the current year once you’ve made a payment. Simply keep your confirmation in a safe place alongside your other official business records. Remember, you’ll need to submit an Annual Franchise Tax payment each year before June 1 to maintain good standing with the state.

For a full breakdown of every cost you’ll pay as a Delaware LLC, see my article on Delaware LLC Cost.

Delaware LLC Franchise Tax Division Contact Information

You can contact the Delaware Franchise Tax Division if you have any questions about your LLC’s Annual Franchise Tax.

Phone: (302) 739-3073 (Option 3).
Email: [email protected].

Their office hours are 8:00 A.M. to 4:30 P.M. EST (Monday to Friday).

Frequently Asked Questions