Requirements for forming an LLC in Arizona
When forming a Limited Liability Company certain steps must be taken to keep the business in compliance on an ongoing basis.
Name requirements for LLCs
LLCs must contain the terms “Limited Liability Company”, “Limited Company” or the abbreviations “LC”, “L.C.”, “LLC” and “L.L.C.”. The word “Association” cannot be used in the LLC name and the terms “Bank”, “Banc” and “Bancorp” need approval from the Department of Banking.
LLC filing requirements
If you decide to incorporate an LLC in Arizona, then you must file a report called the Articles of Organization. The information that must be listed on this report varies from depending on what type of business is being operated. LLCs based in Arizona are not required to file an annual report.
Required information for the Articles of Organization
The Articles of Organization must contain the name and address of a registered agent which resides in Arizona, and which is available to manage legal and tax business documentation. For more help with the incorporation filing or for registered agent services feel free to contact Inc. Plan (USA).
LLC taxes and fees
Arizona doesn’t charge LLCs based on the business income, but domestic and foreign Arizona LLCs are classified as partnerships or corporations for the state’s tax purposes. Therefore, LLC members will be submitted based on their personal income tax return, up to a rate of 4.54%. Additionally, LLC members have to include in their taxable gross income their distributive of the LLC revenue. The state requires an EIN for Limited Liability Companies which hire employees. An EIN is also needed for opening a US Bank Account.
Requirements for forming a C corporation in Arizona:
Each of the 50 American states has its requirements for incorporating. The essential requirements for C- corporations established in Arizona are as follows.
Name requirements for C corporations
Arizona allows organization names that include the terms “Association”, “Company”, “Corporation”, “Incorporated” or “Limited”, along with their abbreviations. However, it restricts the terms “Bank”, “Banc”, “Deposit” or “Trust” unless the company obtains an approval from the Department of Banking. Also, corporation names must not be confused with any domestic, foreign, profit and non-profit corporate names, as well as with limited liability, registered trade and forced fictitious designations.
Filing requirements in Arizona
In order to form a corporation in Arizona, entrepreneurs must file a document called Articles of Incorporation. Additionally, the state requires firms to publish a notice of incorporation within 60 days, in three consecutive publications in the location where the business is established. An annual report and a Certificate of Disclosure must be submitted on a date assigned by the state at a $45 cost.
Required information for the Articles of Incorporation
The Articles of Incorporation require a listing of the company’s authorized shares and per value, the names and addresses of managers, as well as the name and address of a registered agent with a physical Arizona address. Inc. Plan (USA) can help you with the necessary filings and also with qualified registered agent service.
Taxes and fees requirements
Domestic and foreign corporations are subjected to the Arizona income tax. The tax is $50 minimum and is charged at rate of 6.968% of business earnings. The corporate income tax return must be filed with the Department of Revenue on the 15th day of the fourth month following the close of the taxable year. If you plan on hiring employees, Arizona law will ask you for a tax identification number (EIN).