Unexpected corporation tax!! Need help!

New
Kakawho

New

Kakawho
Apr 1 4 Comments

I created a corporation in Delaware with a partner a couple of years ago. And we have 1M and 333K shares respectively. Then we never touched the corporation. But yesterday I just checked the files on LegalZoom and found out we owe ~$150K tax to Delaware. How could this happen?! And how to resolve this?

We want to dissolve the corporation. The process seems complicated on LegalZoom. Anyone can point to a right resource? Thank you!

#tax #cpa #irs

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 TOP 4 Comments
  • Amazon
    Jh83zs

    Go to company page Amazon

    Jh83zs
    LegalZoom? Bruh, you think you might have to pay $150k and you’re trying to DIY it? Talk to a real CPA.
    Apr 1 0
  • New
    uCCj01

    New

    uCCj01
    First don’t worry - that’s inaccurate. Your Delaware franchise tax needs to be calculated based on assets and shares and sounds like it will around $500 per year for you. Google “pay Delaware tax” and use the official Delaware state website to lookup your company and file your return. In the form you specify the shares and assets and click “recalculate” and watch how your taxes drop to a few hundred dollars. Good luck!
    Apr 1 0
  • Meta
    zhFQ23

    Go to company page Meta

    zhFQ23
    That’s not the true liability. Somewhere there’s a box to check stating that you had no revenue or something like this. Your real fee will be like $400 or something.
    Apr 1 0
  • New
    Kakawho

    New

    Kakawho
    OP
    Thanks a lot guys!
    Apr 1 0