Question: Does Arizona LLC law require that an Arizona limited liability company file an annual report with the Arizona Corporation Commission?
Answer: No. One of the benefits of an Arizona LLC is that it does not have to file an annual report with the Arizona Corporation Commission or pay an annual fee to exist. Most if not all other states require LLCs to file and annual report and pay a fee. California is the worst. It requires LLC’s to not only file an annual report, but pay an annual gross receipts tax of a minimum of $800.
Unfortunately Arizona corporate law requires Arizona corporations to file an annual report and pay a $45 fee (for profit corporations) or a $10 fee (nonprofit corporations). Every year approximately ten percent of Arizona’s existing for corporations fail to file their annual report and are terminated by the Arizona Corporation Commission. This is one of the reasons the Arizona LLC is a better choice of entity than an Arizona corporation.
Corporate Annual Report Reminders: Although the ACC no longer mails annual report forms to corporations it does provide an annual email reminder, but you must subscribe on the ACC’s website to get the reminder. If you have an Arizona corporation and you want to get a reminder every year from the ACC that the corporation’s annual report is due go to your entity’s record and then click on the “Subscribe to Annual Report Email Reminder” button and follow instructions.