California LLC Annual Compliance That Costs $800+ in Penalties If You Miss It

If you miss California's annual LLC deadlines, you're paying $2,000 in penalties, and here's how to avoid them. Here's the problem. California has three separate deadlines most founders miss. The statement of information is due every 2 years, costs $20, [music] and missing it adds $250 in penalties.

Your $800 franchise tax is due April 15th every year, no exceptions, and late fees hit 5% per month. California doesn't send reminders for these deadlines. You're expected to know them. A freelance designer from San Diego formed her LLC in March 2026, missed the April 15th franchise tax deadline by 3 weeks, and got hit with a $160 penalty plus interest.

[music] By month four, she owed $1,040 total. The state doesn't care if you made zero revenue. The clock starts the day you file. Most California LLCs face three ongoing requirements: the annual franchise tax, the statement of information filing, and potentially a business license depending on your city.

Miss any of them, and the penalties stack fast. Most people fail here. They think the $800 franchise tax only applies if you made money. Wrong.

California charges every LLC $800 per year starting your second year, even if you earned zero dollars. You could have a brand new LLC that never landed a client, and you still owe $800 by April 15th the following year. Miss that date, and you're paying 5% penalty [music] per month, capped at $2,550. That's an extra [music] $3,350 total for ignoring one deadline.

Step one, mark April 15th, 2026 on your calendar right now. That's your franchise tax deadline. You pay it through the California Franchise Tax Board's online portal. It takes 8 minutes to complete.

You'll need your LLC number and a bank account or card. If you formed your LLC after January 1st, 2026, you don't owe the $800 until April 15th, 2027. But if you formed anytime in 2026, you owe it this April. Set two reminders, one for March 1st, and one for April 1st.

Step two, file your statement of information within 90 days of forming your LLC, then every 2 years after that. This is important. The filing window is based on your formation month. If you formed in March, your next filing [music] is due anytime during March 2 years later.

The fee is $20 if you file on time. Miss the deadline, and it jumps to $270. >> [music] >> You file this through the California Secretary of State's website, not the Franchise Tax Board. It's a different portal, different login, different deadline.

Most founders confuse the two and end up missing one. Here's the problem. You're now tracking two separate agencies, two separate logins, and two separate deadlines. Your franchise [music] tax goes to the FTB every April 15th.

Your statement of information goes to the Secretary of State every 2 years based on your formation [music] month. If you formed in June, your SOI is due in June every other year. If you formed in November, it's due in November. The state will not remind you.

They will just bill you the $250 penalty and send a collections notice. Here's the exact system that keeps you compliant. Create a Google calendar event titled California LLC Compliance Check, and set it to repeat every January 15th. In that event, [music] paste this checklist.

One, confirm April 15th franchise tax payment is scheduled. Two, check if this is a statement of information year. If yes, file between January and your formation [music] month. Three, verify your registered agent address is current.

Four, confirm your business license is renewed if your city requires one. >> [music] >> That four-point checklist takes 6 minutes once a year and eliminates every penalty risk. Bastion Information's clients get automatic email reminders for both deadlines, plus we can file your statement of information for you so you never miss it. Our registered agent service is $99 per year and includes a dashboard that shows exactly when your next California filings are due.

California LLC Compliance Check. One, confirm April 15th franchise tax payment is scheduled. Two, check if this is a statement of information year. File if yes.

Three, verify registered agent address is current. Four, confirm business license is renewed. Pay $800 franchise tax by April 15th every year. File statement of information every 2 years, $20 fee.

Set January 15th calendar reminder with four-point checklist. Bastion Information's handles your California registered agent and compliance reminders for $99 per year. Start now at bastioninformations. com.

Visit https://bastioninformations. com.