Does PA have a capital stock tax?

Pennsylvania has eliminated the Capital Stock and Foreign Franchise Tax for all taxpayers, effective for tax years beginning on or after January 1, 2016. The complete elimination of the tax, which had been delayed several times in the past, was finally confirmed by Pennsylvania Governor Tom Wolf on January 4, 2016.

What is PA franchise tax?

A Pennsylvania franchise tax return is a tax document, also called the Pennsylvania RCT-101 tax return, which was once filed annually by certain businesses registered in the state of Pennsylvania, but is no longer required.

How are LLCs taxed in Pennsylvania?

Limited Liability Companies. All corporations and limited liability companies doing business in Pennsylvania are required to pay capital stock/foreign franchise tax. Partners in a partnership and members of an LLC taxed as a partnership or S Corporation are taxed at the personal income tax rate, 3.07 percent.

What is the LLC tax rate in PA?

3.07%
Each LLC member will pay tax on his or her individual state tax return on his or her portion of the company’s net income at the rate of 3.07%.

Does Pennsylvania have an annual LLC fee?

Unlike most states, Pennsylvania does not require LLCs to file an annual report. An annual fee of $520 times the number of members of the LLC must be paid.

What is the Pennsylvania capital stock tax?

The Pennsylvania Capital Stock Tax is a property tax applicable to all Pennsylvania corporations, S-Corporations and limited liability companies. The tax is reported on the Pennsylvania RCT-101 tax return and is also known as the Franchise tax.

How do you calculate capital stock tax?

This tax is computed by multiplying the Capital Stock Value of the entity times the Capital Stock Tax Rate.

How do I report the Pennsylvania franchise tax?

The tax is reported on the Pennsylvania RCT-101 tax return and is also known as the Franchise tax. Pennsylvania replaced the 7 digit box number with a 10 digit business partner number in the fall of 2013, and will begin using the business partner number on 2013 RCT 101 Returns