Friday, December 27, 2013

The Arkansas Franchise Tax Deadline is Looming.

Every year, the Arkansas Secretary of State requires that franchise taxes be paid by May 31, 2013.  If you fail to pay by this date, then your business entity will be listed as "not current" and will be subject to penalties and taxes until the current year's taxes are paid, or the entity formally dissolves.  If payments are not paid by December 31, 2013, then the entity's charter will be revoked.

Keep in mind that during the previous legislative session, the Arkansas General Assembly passed Act 1041, allowing the Secretary of State's office to create an amnesty program for franchise taxes and interest.  If the business entity's charter was revoked by the Secretary of State on or before December 31, 2012, you may be eligible to participate by visiting the Secretary of State's website.  If eligible, the entity could avoid having to pay its previous years' interest and taxes.  To check your company's status, follow this link to the Secretary of State's entity search.

If you have a company that has been out of business for some time, make sure that you have formally dissolved with the Secretary of State's office.  For assistance with paying franchise taxes, or dissolution of a company, corporation, partnership or other business entity, you should contact an attorney who will help you file the appropriate forms.

C. Michael Daily is an attorney with the long-established law firm of Daily & Woods, P.L.L.C.  Mr. Daily can be contacted by telephone at 479-242-3953, by email at mdaily@dailywoods.com, or by regular post at 58 South 6th Street, Fort Smith, Arkansas 72902.  You can follow Mr. Daily via social network using any of the social network links in the right hand column of the page.  Disclaimer:  This blog is for informational purposesis certainly not to be considered legal advice and is absolutely not substitute for any of the benefits that are associated with the attorney-client relationship.