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The objective of the annual report is threefold. The annual report keeps the Government informed about all the updates, communicates about all the modifications or changes, & keeps the LLC members informed about the necessary taxes and costs. This article has all the information about a Washington LLC annual report filing in Washington.

An annual report can be called an address book, as it features all the relevant addresses of the company & the members. This yearly report is a record of all the company’s activities in an entire year. It is also referred to as the Annual Franchise Tax Report because it helps in filing the franchise tax.

Content of the Annual Report

Typically, the annual report filed by a Washington State LLC (or any other business entity for that matter) will include all the information related to its business & members. The standard contents of the annual report or the annual franchise tax report are

• Office Address of the LLC

• Names & Addresses of the Members & managers.

• Identification Documents

• Social Security numbers of the key members of the LLC

• The objective of the business of the LLC

• List of all the signatories of the LLC

• Information of the registered agent, if any

LLC Tax Update: Before you file your LLC annual report in Washington, make sure to pay all the tax dues for the year.

Washington LLC Annual Report

An Annual report is essential for all business types. It authenticates that the information provided to the Secretary of State is accurate & updated. The information provided in the annual report helps the State officials to ensure that all the companies pay taxes. The Washington Annual Report is filed with the Washington Secretary of State. Note that the LLC Annual Report is not the same as the Certificate of Good Standing in Washington.

Does the State of Washington Require an Annual Report Filing?

Every Business Entity in Washington must file an Annual Certificate or Annual Report. This includes all the legal entities, such as C Corporations, Limited Partnerships, and Limited Liability Companies, that are bound to file the Annual Report.

How to File a Washington LLC Annual Report

You can file the Washington LLC Annual Report online or file it by mail. An LLC operating in Washington has to file the Annual report every year with the Washington Secretary of State by the end of the Business’s Anniversary month.

In Washington, annual reports can be filed with the Secretary of State online by following a few simple steps.

• Step 1: Visit the Washington Secretary of State website’s Annual Reports Page.

• Step 2: Select the “File Online” link under the Profit Corporations, LLCs, Limited Partnerships Annual Report option.

• Step 3: On the next page, log in to your account or create a new one. Start filing the report online.

• Step 4: You can file an Express Annual report (with or without changes) without the login. Just scroll down the annual report screen & choose either of the options.

File Annual Report Online

Filing Washington LLC Annual Report By Mail

To file the Annual Report in Washington by mail, follow the steps below

• Visit the Washington Secretary of State website’s Annual Reports Page

• Select the “Paper Annual Report” option

• A form will open on the next tab

• Download the Form

• Fill the form with correct information

• Send the printed copies of the forms and relevant documents to the address: Secretary of State, P.O. Box 40234, Olympia, WA 98504-0234

File Annual Report by Mail

Washington LLC Annual Report (Domestic & Foreign)

Annual Report Deadline

As mentioned above, filing the Annual Report is a mandatory requirement even for an LLC. An LLC operating in Washington has to file the Annual report every year with the Washington Secretary of State by the end of the Business’s Anniversary month.

Penalties for Non-filing or late filing

An Annual Report is one of the important documents filed by an LLC. Any Annual Report filed after the deadline will lead to a $25 late fee & the LLC losing its good standing status. Further failure to file the annual report will cause the dissolution of the LLC.

Tax Structure in Washington LLC

For an LLC in Washington the tax structure is very simple and flexible. First of all, every LLC has the advantage of a pass-through taxation. On the other hand, an LLC can choose the desired tax structure at the time of formation. There are two ways an LLC can be taxed,

Default Status:

When filing your LLC in Washington, entrepreneurs have the opportunity to select a desirable tax structure. If they do not choose a specific structure, the LLC will be taxed under the ‘Default Status’. That means the tax will be levied based on the number of LLC members.

For a single-member LLC, it is considered a ‘disregarded entity’. This means that a single-member LLC does not have to file a federal income tax return, but the individual (or the LLC member) must file it personally. In the case of a single-member LLC, it is treated as a sole proprietorship.

In the case of a multi-member LLC, it is considered a partnership for tax purposes. Hence, the default status for a multi-member LLC is a partnership firm. LLCs are required to file a separate ‘partnership form’ with the IRS.

LLCs with Spouses: There are specific states (like California) where starting an LLC with a spouse is considered a single-member LLC instead of a partnership or multi-member LLC. In such cases, both husband and wife will be liable to pay taxes

Elective Status:

For an elective status, the LLC can choose the tax structure while filing the formation documents. LLCs in Washington should file a separate tax form if they do not wish to be taxed by default. Many LLCs choose to be taxed as a corporation to enjoy corporate benefits, especially if the LLC is large.

LLCs can choose between S-Corp and C-Corp tax status when filing the formation document in Washington. In that case, the concerned LLC needs to submit a separate form for each type it chooses. For the S-Corp type, Form 2553 must be submitted; for the C-Corp type, Form 8832 must be submitted.

In Washington, there may be local taxes (inquire with the local government body for details) that LLCs must pay to be updated. Make sure to pay and update your tax dues before you file your annual report in Washington.

Annual Report vs Certificate of Existence in Washington

The Certificate of Existence is a legal document that certifies that an LLC in Washington is in good standing and compliant with all applicable laws. That includes an updated annual report as well. While Annual Reports show if your company is up to date.

They are both similar documents (although not identical) and serve as proof of the company’s good standing. The Annual Report is a domestic document, whereas the Certificate of Existence in Washington is a mandatory document if the LLC is going beyond the home state to a foreign state. There are several ways to obtain a Certificate of Existence in Washington.

In Washington, you must request a Certificate of Existence through the online portal. You can log in to your account and apply for a Certificate of Existence by visiting the provided link. A filing fee of $20 must be paid to the SOS to obtain the Certificate of Good Standing. The amount might be more depending on the number of copies you request. If you request additional copies of documents, you may incur an additional fee.

Request Certificate of Good Standing:

• Online application: log in to your account and apply for a Certificate of Existence

• Offline application: Not available

• Fees: $20

Why Do LLCs Have to File the Annual Report?

Some of the states are not required to file this yearly report, commonly known as the Annual Report. However, there are some reasons why states should file an LLC Annual Report. Here are some reasons,

To Maintain the Accuracy of the Information

An annual report filed by the LLC has all the updated information about its official addresses & the names or addresses of all its officials. This updated information enables state authorities to track down any LLC when communicating.

To Provide the Correct Correspondence

Many times, any creditor or other entity willing to transact with the LLC requires the correct correspondence address. If this information (which can only be modified with the help of an annual report) is not updated every year, such entities will not be able to communicate with them.

To Notify the Government About All the Significant Changes

If you have changed your main business address or had new business appointments of managers or members, the annual public information report notifies the State Government Entities about it. So, the next time someone questions a newer reform that you have introduced in your LLC, you will be saved because you had submitted the information to the Government.

To Provide an Activity Log of an LLC

The Annual Report is like an activity log of the LLC. It brings on record all the transactions, new associations, appointments, etc. & keeps those records intact for all future references.

To Help You With the One-time Filing of Taxes

The annual report is an excellent means to keep you on your toes in case of your dues payment. Every LLC must pay taxes through the annual report filing. By filing the report on time, the LLC can manage the exemptions & can avoid penalties imposed by the Government.

To Enable the State to Track the Payments

The government authorities use all the information filed through the annual report for tracking the payment of State Taxes.

Seek the Help of a Registered Agent

Every State will have a different rule for filing the Annual Report. Usually, it is submitted every year, but it is submitted once in two years in some states. Some states require the filing of the report only once in ten years.

Not only the timing, the mode of filing, the proper addresses, exemptions, legality, annual report compliance, etc., have to be taken care of while paying the taxes or filing any reports with the State authorities. In many such scenarios, it is advisable for an LLC to appoint a Registered Agent to manage all these matters. Check out the best LLC service that offers all the services at an affordable price. An experienced agent is required for:

1. Streamlining the mandatory processes & filing.

2. Sending or receiving any documents.

3. Reminding you about important dates of filing or payment of taxes.

4. Simplifying the filing procedures.

5. Avoid any penalties.

6. Flexibility in working.

7. Maintaining Privacy (as it keeps your personal records off the public record)

You can read more about a Washington Registered Agent here.

FAQs

In Conclusion

An LLC has to file many types of reports, such as Application for Reinstatement, Periodic Report of a limited partnership (usually filed by the exempt nonprofit organization), etc., which are required depending on the type of entity. The Annual Report is mandatory irrespective of the entity type. It requires compliance across entities.

Additionally, please note that an annual report is not the same as a Certificate of Good Standing in Washington. They might look similar, as many parts of the certificate are the same as those in the annual report; however, it is a completely different document and should be compliant with the filing requirements for the annual report in Washington.

If you have an LLC in Washington and want to expand your business beyond Washington, you must form a foreign LLC. Any business, especially a limited liability company, located in other states, starts its operation in Washington, must file a foreign LLC in Washington. To do so, every LLC needs to file additional filing documents, along with tax and relevant documents with the Washington government.

In this article, you’ll be reading about how to start a foreign LLC in Washington. Along with that, the page guides you through the steps involved in managing and maintaining a foreign LLC in Washington after you form it.

Forming a Foreign LLC in Washington

A foreign LLC does not need to be a company from another country but a business formed under the laws of another state. If you register your LLC in one state and operate your business in Washington, you probably need to register your LLC as a foreign entity here. Imagine, if your family owns a sushi restaurant in Alabama and you want to expand the chain somewhere in Texas, you must establish your restaurant in Texas as a foreign entity.

Anyone who has an active and in good standing LLC anywhere (except for Washington) and wants to expand their operations in Washington can file their LLC as a foreign entity. To start a foreign LLC in Washington, you need to register it with the Washington Secretary of State. Every state has a different rule for establishing a foreign LLC. Here are the steps to follow in Washington for registering a foreign LLC.

Note: These are generic steps to file a foreign LLC in Washington. Make sure to check with the State Secretary of State, before you start filing your business. – LLCBuddy Team

Step 1Get the Certificate of Existence From Home State

Before you proceed to register your LLC in Washington as a foreign entity, you must get the Certificate of Existence issued from your home state SOS. This is an important document to register an LLC in a foreign state.

If your LLC is originally registered in Washington, then you must obtain the Certificate of Existence from Washington Secretary of State. If your LLC is in other states, the name of the same document might be different. Every LLC, registered in any state other than Washington must get this document to register a foreign LLC in Washington.

Filing Certificate of Existence: To receive the Certificate of Existence in Washington, you must Log in to SOS with the credentials you have. After logging in, you can request a Certificate of Existence by clicking on the option on the business details page. After making the payment you can get the confirmation.

Step 2Choose Washington Foreign LLC Name

Obtain a name reservation certificate and submit it with your foreign qualification requirements to the Washington Secretary of State. Your LLC’s legal name outside of Washington will be listed on the application, along with the name it will use in Washington. Take note of the requirements for naming your LLC.

You can use the same name as your domestic LLC name, however, that name should be available in Washington to use. Check name availability at Washington’s business entity names and reserve your LLC name. There are a bunch of LLC naming guidelines in Washington when it comes to forming a foreign LLC. Check the guidelines before you name your business.

Step 3Select Washington Foreign LLC Registered Agent

A registered agent is a person responsible for receiving all official and legal documents on behalf of your company, whether it is located domestically or in a foreign state. For a foreign LLC in Washington, you must have a registered agent from Washington only. No matter where your domestic LLC is located, you must hire a registered agent from Washington for your foreign LLC.

You’ll need a registered agent to form a foreign LLC in Washington and take note that the Washington Registered Agent must have a local address. Here are the best LLC services on our list that will provide you with registered agents to ease your worries:

Output for wptb id 44275 (used on ~332 pages): LLC service comparison.
Logos in static/logos/: legalzoom.png, northwest.png. Styling: .ptable in theme/style.css.

LLC Service
Our Rating
Top Features
Pricing

#1 Top Pick

5.0

• 1-day rush filing (add-on)
• Attorney help (legal plan)
• Established reputation

$0 + State Fees

Start My LLC

4.5

• Free RA service for a year
• Customised LLC Package
• Transparent pricing

$39 + State Fees

Get Started

Step 4File Application for Registration for Washington Foreign LLC

The most important step is to send the application for registration with Washington SOS. Download the PDF form from the Washington Secretary of State website or file it online (whichever method is available). The form must be filled out with the following details:

• LLC’s full legal name.

• A fictitious name or a DBA (only if your LLC’s legal name is not available); Attach a statement of adoption of the fictitious name signed by all LLC members.

  • DBA filing method in Washington: three methods, online, by mail, and in person filing.

  • Online: For online filing, check the Washington State Business Licensing Service website

  • Offline: For filing offline in Washington, you must send the accomplished DBA filing form to the Washington Secretary of State, Corporations Division, P.O. Box 40234, Olympia, WA 98504-0234 or drop it off in person at 801 Capitol Way South, Olympia, WA 98501.

  • DBA filing fee in Washington: $24

• LLC’s principal office and mailing addresses

• LLC formation state and date.

• Registered agent’s name and address in Washington.

• Date when your LLC will start operations in Washington.

• Credit card information is on the last page of the form for the application fee.

Online Filing

The online filing of a foreign LLC in Washington requires you to Log in to SOS. If you are a new user, then register yourself with the SOS portal first before heading towards filing the foreign LLC. Once done, get the foreign limited liability form from the Business section. Submit the form after filling up the mandatory fields with appropriate information.

Offline Filling

For offline filing of a foreign LLC forming in Washington, get the Foreign LLC Registration Form. Download the form and fill it up. The paper form can be sent to the Secretary of State’s office at Secretary of State, Corporations Division. P.O. Box 40234 by mail or in person by visiting the SOS office.

Foreign LLC Registration Fee in Washington: The filing fee for a foreign LLC in Washington is $180, and it is the same for online and offline filing.

The LLC cost in Washington, even for foreign LLCs will differ between online filing and by mail. Also, read about what’s the major difference between Washington’s domestic and foreign LLCs.

Step 5Determine How Your Washington Foreign LLC is taxed

Foreign LLCs are also subjected to the Washington Business Privilege Tax and must file LLC annual reports each year. If you have a single-member foreign LLC then it will be considered as a ‘disregarded LLC’ by IRS. That means the LLC will not be regarded as a company but it will be taxed as an individual (the owner). If you already have an LLC in the home state, you must have obtained the EIN as well. You don’t need to obtain the EIN in Washington for a foreign LLC separately as it is issued from the IRS.

For other types of LLCs (member-managed or manager-managed LLCs), it will be a ‘pass-through taxation‘ where the LLCs don’t get taxed separately, instead, the members and managers are taxed based on their personal income. So, foreign LLCs are taxed as same as domestic LLCs in Washington. However, it is recommended to check with the Washington Secretary of State for state-wise taxes.

Note that forming a foreign LLC would be good for your business as you can legally operate in a different state thus reaching a larger market and opening more opportunities for higher profit.

Filing Washington Foreign LLC Online – Quick Recap

1. Get the Certificate of Existence from your home state where your LLC is originally registered

2. Check if the name of your LLC is available in Washington to use for your foreign LLC. If not, file DBA name with Washington SOS.

3. Get a registered agent in Washington to represent your foreign LLC in Washington. Recommended, professional help instead of being your own registered agent.

4. File the Application of Foreign LLC with the Washington Secretary of State following the mentioned method(s) above.

5. Make the processing fee.

BOI Reporting

According to the Corporate Transparency Act, every LLC (or business) has to send a BOI reporting to the Financial Crimes Enforcement Network (FinCEN). Once you establish an LLC and if it is enlisted under the list of reporting companies, you must file your BOI report in Washington with the FinCEN.

After Forming Washington Foreign LLC

Here are added things you need to accomplish after forming your Washington Foreign LLC

1. Obtain Business Licenses. Find the business licenses you’ll need using the Business License Search. You can contact the license office at Washington Secretary of State.

2. File LLC annual reports and Business Privilege Tax. You must file an Annual Report before the stipulated time frame after forming your LLC in Washington. Here’s everything about Washington LLC Annual Reports.

3. Pay State Taxes like sales tax; you’ll need an EIN for your LLC.

FAQs

Also Read

• Alabama Foreign LLC
• Alaska Foreign LLC
• Arizona Foreign LLC
• Arkansas Foreign LLC
• California Foreign LLC
• Colorado Foreign LLC
• Connecticut Foreign LLC
• Delaware Foreign LLC
• DC Foreign LLC
• Florida Foreign LLC
• Georgia Foreign LLC
• Hawaii Foreign LLC
• Idaho Foreign LLC
• Illinois Foreign LLC
• Indiana Foreign LLC
• Iowa Foreign LLC
• Kansas Foreign LLC
• Kentucky Foreign LLC
• Louisiana Foreign LLC
• Maine Foreign LLC
• Maryland Foreign LLC
• Massachusetts Foreign LLC
• Michigan Foreign LLC
• Minnesota Foreign LLC
• Mississippi Foreign LLC
• Missouri Foreign LLC
• Montana Foreign LLC
• Nebraska Foreign LLC
• Nevada Foreign LLC
• New Hampshire Foreign LLC
• New Jersey Foreign LLC
• New Mexico Foreign LLC
• New York Foreign LLC
• North Carolina Foreign LLC
• North Dakota Foreign LLC
• Ohio Foreign LLC
• Oklahoma Foreign LLC
• Oregon Foreign LLC
• Pennsylvania Foreign LLC
• Rhode Island Foreign LLC
• South Carolina Foreign LLC
• South Dakota Foreign LLC
• Tennessee Foreign LLC
• Texas Foreign LLC
• Utah Foreign LLC
• Vermont Foreign LLC
• Virginia Foreign LLC
• Washington Foreign LLC
• West Virginia Foreign LLC
• Wisconsin Foreign LLC
• Wyoming Foreign LLC

In Conclusion

Having a foreign LLC in Washington is nothing but expanding your business legally beyond the boundary of your domestic or home state. Starting a foreign LLC in Washington does not require a lot of documentation or tasks. However, it is always good to seek help from a professional when it comes to running your business. From getting the Certificate of Existence to hiring a registered agent in Washington, a professional or attorney can always be a perfect help. LegalZoom is one of the most accurate and user-friendly services that offer a bunch of LLC formation services. They offer LLC formation for $0 (excluding the state formation fee).

The cost of registering a foreign LLC in Washington can vary depending on a range of factors. While the initial registration fees and ongoing expenses can be a significant investment, many companies find that the benefits of establishing a presence in the state outweigh the costs. By carefully considering the expenses involved and budgeting accordingly, companies can ensure that their foreign LLC in Washington is a success.

Starting a limited liability company in Washington State involves a set of costs. In general, the cost of forming an LLC anywhere is much lower than the cost of establishing a corporation or other business structures. To start an LLC in Washington State, you pay $180 ($200 for online filing) as a filing fee. There are other types of fees, like annual reports, licenses, permits, and state taxes (if applicable).

In this article, the LLCBuddy team has summed up the overall projected LLC cost in Washington State. From initial filing fee to maintenance cost, and to annual taxes, you will get it covered here!

Washington State LLC Cost of Filing

The cost to start an LLC anywhere in the US includes many things. Apart from the initial filing fee, it involves license and permit fees, tax filing, sales taxes, other local and state government fees, etc.

Cost of Filing Formation Certificates

The main cost associated with an LLC is the filing fee paid to the state. The fee is different based on which state you’re in. In Washington State, the filing fee is $180. Once you file the Washington Articles of Organization, you must pay the fees to the Washington Secretary of State at the time of form submission. Apart from the filing fee, some other fees and costs are mentioned below,

Washington State Domestic LLC

• Online Filing costs $200

• Offline (PDF) Filing costs $180

• Annual Report filing costs $70

• Name Reservation fee costs $30

By Mail: Fill out the application form, and send it to the Secretary of State Corporation Division, 801 Capitol Way S, P.O. Box 40234, Olympia, Washington 98504-0234.

Washington State Foreign LLC

• Online Filing costs $200

• Offline (PDF) Filing costs $180

• Annual Report filing costs $70

• Name Reservation fee costs $30

By Mail: Fill out the application form, and send it to Secretary of State Corporation Division 801 Capitol Way S P.O. Box 40234 Olympia, Washington 98504-0234.

Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so.

Washington State LLC Formation Service or Registered Agent Fee

Hiring a registered agent in Washington is necessary while forming an LLC. LLC formation cost includes the cost of hiring a registered agent. You can be your own registered agent; however, that is not recommended, as a registered agent has to be present at the official physical address during working hours. Here are the best LLC services in Washington that offer registered agent services as well.

Output for wptb id 44275 (used on ~332 pages): LLC service comparison.
Logos in static/logos/: legalzoom.png, northwest.png. Styling: .ptable in theme/style.css.

LLC Service
Our Rating
Top Features
Pricing

#1 Top Pick

5.0

• 1-day rush filing (add-on)
• Attorney help (legal plan)
• Established reputation

$0 + State Fees

Start My LLC

4.5

• Free RA service for a year
• Customised LLC Package
• Transparent pricing

$39 + State Fees

Get Started

Business Permits and Licenses

The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Washington State Department of Revenue for regulatory boards or agencies requiring licensing.

Taxes Payable to the Washington Department of Revenue

To incorporate and register an LLC in Washington, one has to pay taxes to State & Federal Government. Some of the essential business taxes are enlisted below.

State Income Tax: As the LLC owner, you don’t have to pay state tax on any amount you earn via your LLC. Businesses may have to pay a Business & Occupation tax on all the earnings in Washington. Some companies are also subjected to the public utility tax. The gross receipts drawn by the businesses define the amount of tax they have to pay.

State Sales & Use Tax: Any seller of tangible goods such as cars, electronics, etc. & any service provider company has to collect taxes at the time of the purchase and then has to pay those to the Washington Department of Revenue. The state sales & use tax rate on LLC in Washington is 6.5%.

Federal Self-Employment Tax: The Federal Self Employment Tax is often called Social Security or Medicare tax, is paid by all the LLC Business members or managers. The self-employment tax caters to the well-being of the members of the company. The Federal self-employment tax rate in Washington is 15.3%.

Federal Income Tax: The rate of the Federal Income Tax is calculated after carefully observing: your earnings, the income tax bracket your LLC falls, the deductions, & the manner/ mode of filing. Federal Income Tax is paid on all the profits your LLC makes in a year.

Employee & Employer Taxes: LLCs that have appointed several employees have to pay Employee & Employer Taxes too. The tax rate is calculated on the basis of the amount they earn, the number of employees, etc.

Cost Comparison between states

Washington shares its border with the Pacific Ocean, British Columbia, Canada. It has only two American states that share the same boundaries, namely Idaho & Oregon. Each of these states has a different rate of taxes levied on LLCs. Let us take a look at this comparative chart.

Based on the kind of industry you LLC operated in, your LLC will be liable to some other taxes & duties. You should seek regional help to verify the tax rates or business costs of registering an LLC in Washington.

Other Costs

• Washington State Name Reservation: $30 for by mail

• Doing Business As (DBA): $24 for online filling or if filing by mail

• Certified Document Copies: $20

• Certified of Good Standing: $20

• Business Domain Name and Website: depend on your preference, but domain name could be as low as $2.99/yr at NameCheap, and web hosting is at least $30/mo at Kinsta.

• Online workspace: at least $4.20/mo for GSuite.

• Business Insurance: would vary depending on insurance type–whether general liability insurance or professional liability insurance–and coverage.

• Dissolution of Washington State LLC: No fee

F.A.Qs

In Conclusion

The cost of Washington is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the prices of professional LLC services and choose the most affordable one. Hiring professionals, like LegalZoom, which offers LLC formation at $0, can be profitable, as there will be no additional cost to form an LLC.