Delaware doesn't ask its LLCs for an annual report. It asks for a flat yearly tax, due by 1 June, whether or not the company earned anything or did anything. It's the price of being in the state investors expect, and since 2026 it's $400. Here's all of it.
The 2026 increase
House Bill 400, signed on 21 May 2026, raised the yearly tax on limited liability companies and partnerships from $300 to $400 and backdated it to 1 January 2026, so the tax due on 1 June 2026 was already the higher figure. Plenty of guides online still say $300. The bill didn't change the franchise tax rates for corporations.
When and how
It's due by 1 June each year for the previous calendar year, starting the year after formation, and you pay it online on the Division of Corporations' website with the company's file number. There's no form to fill in and nothing to report: no addresses, no owners, no assets. On Starter and Standard, the date goes on your calendar. Annual state compliance, at $199 a year, or Premium pays it for you and passes the $400 on at cost.
If it's late
Delaware adds a $200 penalty and charges interest of 1.5% a month on the tax and the penalty. The company also stops being in good standing, so Delaware won't issue a certificate of good standing until everything is paid, and a bank or investor that asks for one will find out. If an LLC goes three years without paying, Delaware cancels its certificate of formation, and bringing it back means paying everything owed plus a $220 revival filing.
Corporations are different
A Delaware corporation files a $50 annual report and pays a franchise tax based on its shares or its assets, starting at $175, both by 1 March. The C-Corporation tax guide covers it. The flat tax is for LLCs and partnerships only.
Is it worth it?
For a company that will raise from US investors, usually yes: Delaware is what their paperwork assumes, and the yearly tax costs less than converting later. For a company that won't, no. A Wyoming LLC is the same company for $60 a year. Wyoming or Delaware has the full comparison.