Small Business Reading Room


Thursday, October 27, 2005

Proposed Changes to Delaware Franchise Tax Reports

As Russell mentioned in a previous post we recently attended the 19th Annual Executive Strategic Planning Conference held by the Secretary of State and the Division of Corporations. Many proposed changes were discussed at the Conference, including proposed changes to Delaware Franchise Tax Reports.

The State hopes to begin sending postcard notifications of when the Annual Reports are due instead of the green reports currently mailed. The notifications would direct the company to log on to the State's Franchise Tax payment website or direct the company to contact its registered agent for assistance in paying the Franchise Tax. The State hopes that the notifications will increase the number of electronic transactions. For those who would still like to file the paper form, they could download the form from the web or contact their registered agent.

The State is hoping to implement the new procedure for the 2006 tax year and they eventually hope to make electronic filing mandatory for all Delaware entities.
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