How to File an Alabama Annual Report

If you have a limited liability company (LLC) in Alabama, you must file an annual report to keep your business in good standing. But don’t worry – it’s a relatively painless process that can be done online. 

Read on to learn how to file your LLC’s annual report in Alabama.  

What Is an Annual Report?

An annual report verifies your business information and tells Alabama that your LLC is still operating. In addition, keeping up with annual reports is a legal requirement that enables you to obtain a Certificate of Existence, which a bank or creditor might request to confirm your compliance. 

In Alabama, your annual report is filed with your business privilege tax return. All businesses in Alabama must have a business privilege license and pay an annual business privilege tax. 

The following information is required on the annual report and business privilege tax return: 

• Business name
• Primary business address
• Taxable year
• Employee Identification Number (EIN)
• Name of Business Contact
• Date, state, and county of formation
• Calculation form showing your LLC’s net worth (a blank form is provided)

How to File an Annual Report in Alabama

To file your annual report in Alabama, visit the Department of Revenue and select “file and pay business privilege tax online.” 

You’ll need to log in to your account to file.

Then you’ll fill out the business privilege tax and annual report form. The form includes a calculation of the business privilege taxes your company owes. 

Reports and returns are due on the 15th day of the 3rd month after the start of the taxable year. There is a $50 fee for filing late, plus accrued interest. 

If You Do Business in Other States

If you do business in other states, be sure to register in those states as a foreign LLC. For example, if your LLC is registered in Alabama and you start doing business in Florida, you’ll need to register in Florida as a foreign LLC.

You’re generally required to register as a foreign LLC if:

• You have a physical presence of any kind in that state 
• You have employees in that state
• You regularly meet with clients, managers, or investors in that state
• You are licensed to do business in that state

Once you’ve registered as a foreign LLC, your business must follow the annual reporting requirements of that state and pay taxes in that state. 

In Closing

Filing an annual report and business privilege tax return in Alabama is relatively easy, but it’s crucial to smooth business operations.

Be sure to review all your business information and file your report on time to ensure your LLC remains in good standing.