California LLC annual cost.
The $800 minimum franchise tax. The graduated gross-receipts fee. Statement of Information. Total California cost of ownership for an LLC, by revenue tier.
Projected gross receipts
$200,000
Total California gross receipts for the year.
Total annual California cost
$810
For an LLC with $200,000 in California gross receipts.
Minimum franchise tax
Rev. & Tax. § 17941
Owed annually by every California LLC, regardless of revenue.
$800
LLC gross-receipts fee
Rev. & Tax. § 17942
Tier: Under $250,000.
$0
Statement of Information (annualized)
$20 every two years
Filed every two years; $20 ÷ 2 = $10 annualized.
$10.00
Where the steps are
Cal Rev. & Tax. § 17942 — the LLC fee jumps at each receipts threshold. Crossing a threshold by a single dollar can mean thousands more in fee.
| Gross receipts | LLC fee | + $800 min tax |
|---|---|---|
| Under $250,000 | $0 | $800 |
| $250,000 – $499,999 | $900 | $1,700 |
| $500,000 – $999,999 | $2,500 | $3,300 |
| $1M – $4,999,999 | $6,000 | $6,800 |
| $5M and above | $11,790 | $12,590 |
Doesn’t include
- City and county business-license fees
- Registered agent service ($50–$300/year)
- Income tax on member distributions
- Tax-prep, bookkeeping, attorney fees
Reference math, not tax advice. Figures use Cal Rev. & Tax. Code §§ 17941, 17942, and the standard Statement of Information cycle. Doesn’t include city business-license fees, registered-agent fees, professional fees, or income tax on member distributions. Confirm current rates with the FTB and Think Legal, P.C. before relying on this for planning.
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