After successfully registered in California, the Corporation or LLC are required to operate in compliance with the General Corporation Law/Limited Liability Company Act of the State of California. The following describes the California company’s basic maintenance requirements.

All Corporation and LLCs must have and maintain a registered agent, which has a physical street address in California. You must file statement of information with the California Secretary of State every year or every two year. The statement of information is an update to your company’s information registered with the state. Failure to file the required Statement of Information may result in penalties being assessed by the Franchise Tax Board and suspension or forfeiture. You are required to file and pay franchise tax to California Franchise Tax Board. The due date is the 15th day of the 3rd month (LLC) or 4th month (Corporation) after the close of your tax year If you have state or local business license, you must renew the local business license/permit periodically. The license expiration date is printed on the license.

According to Federal and State tax rules, all active business registered in California must file tax returns on time, including business income tax, sales tax, payroll tax and other relevant taxes returns.

All business entities doing business in California must file a federal and state income tax return on or before the following April 15th (Corporation) or March 15th (LLC) of the tax year if calendar year is applied on tax purpose. The California annual tax for Corporation is the greater of 8.84% of the corporation’s net income or USD 800 minimum franchise tax If you plans to sell certain tangible personal property and provide taxable services within California, you have to pay the California sales/use tax; if you have employees within California, you have to report gross wages to the California Employment Development Department, withhold taxes from employees’ pay-checks, and contribute to Unemployment Insurance Tax(UI) and Employment Training Tax (ETT).

See also:
California Limited Liability Company Registration
California Corporation Incorporation Procedures and Fees
California Limited Liability Company Dissolution

Download： U.S. California Company Maintenance Guideline [PDF]