Could Your Startup Be Paying Too High A Franchise Tax In Delaware?

Each year, the thousands of business corporations that call Delaware home must pay what is known as an annual franchise tax. The tax is paid by every for-profit corporation incorporated in the state, whether they actually earn money there. Think of it as a license fee, paid for the right to exist as a Delaware corporation. The minimum any corporation will pay is $175, while the max is $180,000.

However, there are two methods you can use to calculate the amount of Delaware franchise tax your corporation owes. Depending on which you choose, you could see huge differences in the amount due. Read more.