When running a small business, staying legally compliant with state requirements is crucial yet often confusing with various annual and biannual deadlines to track. Get organized early each year so you don’t miss critical state filings!
Here are some of the most common state-level compliance activities and their frequencies:
Annual LLC/Corporation Reports
In most states, LLCs and corporations must submit an annual report and pay fees to maintain an “active” legal entity status allowing you to keep operating year after year. Require $25-$150 payment.
Annual Tax Withholding Reconciliation
Payroll processing companies handle this, but if you directly remit payroll taxes, you must annually reconcile wages paid and taxes withheld by filing forms W-2 and W-3 with the IRS and state. Require employee SSN reporting.
Biannual Workers Compensation Affirmations
If having W-2 employees, most states require recurring affirmation of your workers compensation insurance coverage even for exempt industries. Filing confirms policy remains active.
Sales & Use Tax Returns
If registered to collect sales tax from customers, monthly, quarterly or annual filings must be submitted per state requirements reporting taxable sales and use taxes due. late fees apply to lapses.
There are other more periodic filings like trademark renewals every 5-10 years applicable as well. Staying on top of critical state filings preserves your good legal standing, tax compliance and certifications to continue doing business. Mark your calendars and check in with us around Q4 annually for a filing readiness check!
