Starting an LLC in Kentucky is not for the faint of heart. Maintaining one isn’t, either. There’s a bunch of annual requirements: annual taxes, business licenses to renew, and of course, annual reports. A lot of the annual requirements can be pretty complicated, too.
Annual reports can be pretty complicated…but only if you don’t know what to expect. That’s what we’re here for. In this guide, we’ll cover all the essentials to annual reports in Kentucky: LLC filing fees, where to file, due dates, and if you want, where to go to get help filing. By the end, the annual report won’t feel so daunting anymore.
What is an annual report?
An annual report is a lot like an annual newsletter for your LLC—except you only send it to one place: the state government. Each year, the state needs updated information about your business. And this isn’t a requirement that’s unique to Kentucky. In fact, nearly every state requires some form of annual (or similar timeline) update.
That said, the newsletter analogy falls short because you don’t need to tell the state what you did each month. You don’t even have to tell them the highs and lows of your year. And thankfully, you don’t have to write it out as a letter. All you’ll have to do is fill out the requested information.
Here’s a quick glance at the information Kentucky will require from you:
- Legal name of the business
- Principal office address
- Name and address of your registered agent
- Names and addresses for each member or manager of the LLC
Sound overwhelming? Don’t panic. It’s actually a lot easier than you might think! In the rest of this guide, we’ll cover all the essentials to annual reporting—including a DIY approach and how to get help if you’d rather not file on your own.
Where do I start?
When the time comes to file your annual report, your gut might tell you to head to the Secretary of State’s website. And in this case, your gut is right. More specifically, you’ll head to the Annual Reports page. From there, you’ll be able to file your report online. If you’d rather file by mail, you can also print the report and mail it in.
Either method works just fine, but we find it’s easiest to file online. That’ll save you time, and there’s no risk of postal delays.
The annual report isn’t extremely difficult to fill out, honestly. But if you’re extremely busy (and who isn’t these days?), the report can seem overwhelming—it’s yet another thing you have to do. That said, you can hire a Kentucky LLC Service to handle the work for you. Not only will these services actually form your business for you (if you need it), but they’ll also help you handle annual requirements like the annual report.
How much does Kentucky’s Annual Report cost?
Some states have a pretty hefty price tag of several hundred dollars for their annual report. Other states charge more reasonable fees of less than $100. Kentucky falls on the affordable side of that range. In fact, Kentucky only charges $15 to file the annual report. And if at least half of your LLC’s members are veterans, that $15 fee will be waived for the first four years.
But how you pay that filing fee will depend on how you file your report. If you file online, you’ll be asked to input your credit or debit card information while you file. If you file by mail, you’ll need to include a check with your $15 payment.
When is the Annual Report due?
In most states, the annual report is due, well, annually. In other states, entrepreneurs often refer to it as an annual report even though it’s due every other year. But in Kentucky, the annual report fits its name; you’ll file every year.
More specifically, the annual report is due each year by June 30th. But Kentucky gives you a wide range of time to file; you can file anytime between January 1 and June 30. So as long as you file by June 30, you can do whatever works best for you. For example, some LLC owners find it’s easiest to file during tax season since you’re already working on annual filings.
What happens if you don’t file your annual report?
Sometimes annual check-ins are a pain, right? And we get it: with some things, like annual physicals, dental cleanings, and eye appointments are tempting to skip. Usually, there isn’t a big penalty if you skip them for a year or two (aside from a minor scolding from your doctor).
However, that isn’t the case with annual reports. You should never skip filing your annual report, and you should always do it on time. For one thing, filing on time ensures that you don’t spend any more than you have to.
More importantly, though, failing to file your annual report can cost you your good standing in the state. If you haven’t filed by July 1, the state will send out a 60-day notice. If you don’t file within those 60 days, the state will administratively dissolve your LLC.
If that happens, don’t panic; you can get reinstated. But it’s a hassle to do so, so we highly recommend filing it on time each year. You’ll save yourself a lot of time and money.
Maintaining a Kentucky LLC is no laughing matter, and the annual report is without a doubt one of the most important annual filings. Thankfully, it doesn’t have to be too complicated. Hopefully this guide has helped take out some of the guesswork. And don’t forget: an LLC Service can make things even easier.