California business formation FAQ

$70 for LLC-1 Articles and $20 for the initial Statement of Information. The initial statement is due within 90 days, then every two years.

$100 for general stock Articles and $25 for the initial Statement of Information, due within 90 days and annually thereafter.

Generally yes. The temporary exemption applied only to tax years beginning in 2021–2023 and has expired.

Generally no for its first taxable year, subject to eligibility. Income-based tax can still apply.

The general rate is 1.5% of California-source income with an $800 minimum. A newly formed or qualified S corporation generally has a first-taxable-year minimum-tax exception. Financial S corporations have a different rate.

Failure to file can lead to suspension or forfeiture; FTB says SOS may impose a $250 penalty that FTB collects.

Yes. The IRS issues EINs free of charge; paid preparation assistance is optional.

For most licensed professions, consider a professional corporation instead. LLC-1 instructions prohibit LLC professional services as defined by the referenced statutes; confirm your profession’s rules.

With the county where your principal place of business is located. Confirm local publication requirements and costs with the county clerk.