Short answer: California Form 568 is the Limited Liability Company Return of Income that LLCs file each year with the California Franchise Tax Board (FTB). Every LLC that is not taxed as a corporation files it if the LLC is organized in California, registered with the California Secretary of State, doing business in California or earning California-source income, and that includes single-member LLCs. Form 568 reports the $800 annual LLC tax, the LLC fee of $900 to $11,790 owed when total California income reaches $250,000, and the LLC’s income. Multi-member LLCs file by March 15 and single-member LLCs owned by an individual file by April 15 (calendar year), with an automatic extension to October 15.
Figures on this page come from the FTB’s 2025 Instructions for Form 568 (revised March 2026) and its LLC guidance, verified in October 2026.
Official FTB Form 568 Links
- 2025 Form 568, Limited Liability Company Return of Income (PDF)
- 2025 Instructions for Form 568 (Limited Liability Company Tax Booklet)
- 2026 FTB 3522, LLC Tax Voucher for the $800 annual tax (PDF)
- 2026 FTB 3536, Estimated Fee for LLCs (PDF)
- 2025 FTB 3537, Payment for Automatic Extension for LLCs (PDF)
- 2025 FTB 3832, Limited Liability Company Nonresident Members’ Consent (PDF)
- FTB: Doing business in California
- FTB: Pay online with Web Pay
Form 568 at a Glance
| Item | Rule |
|---|---|
| Full name | Form 568, Limited Liability Company Return of Income |
| Filed with | California Franchise Tax Board (FTB) |
| Who files | LLCs taxed as partnerships or disregarded entities that are organized, registered, doing business or earning income in California |
| Annual tax | $800 a year, paid with form FTB 3522 |
| LLC fee | $900 to $11,790 when total California income is $250,000 or more, estimated with form FTB 3536 |
| Return due date | 15th day of the 3rd month after year end for multi-member LLCs; 15th day of the 4th month for single-member LLCs owned by individuals |
| Extension | Automatic: 7 months for multi-member LLCs, 6 months for most single-member LLCs. Payments are not extended |
| Filing with no income | Required. A registered LLC files Form 568 and pays the $800 annual tax every year until it cancels |
| E-file | Required when the return is prepared with tax software |
Who Must File Form 568?
An LLC that is not taxed as a corporation files Form 568 if any one of these applies:
- The LLC is organized in California, by filing Articles of Organization in California.
- The LLC is organized in another state or country and registered with the California Secretary of State. A California business entity search shows whether an LLC is registered.
- The LLC is doing business in California.
- The LLC has income from California sources.
| Your LLC | California return |
|---|---|
| California LLC with one owner (disregarded entity) | Form 568 |
| California LLC with two or more owners (partnership) | Form 568 plus a Schedule K-1 (568) for each member |
| Out-of-state LLC registered with the California Secretary of State | Form 568, even with no California activity |
| Out-of-state LLC doing business in California but not registered | Form 568, and it must register through foreign qualification. The FTB charges a $2,000 penalty to unregistered foreign LLCs doing business in California |
| Out-of-state multi-member LLC with California income, not registered and not doing business | Form 565 instead of Form 568 |
| Out-of-state single-member LLC, not registered and not doing business in California | No California return |
| LLC taxed as a C corporation | Form 100 |
| LLC taxed as an S corporation | Form 100S |
An LLC is not required to file and owes no annual tax or fee if its tax year is 15 days or less and it did no business in California during those 15 days.
Do Single-Member LLCs File Form 568?
Yes. The IRS ignores a single-member LLC for income tax, and so does California, with one exception: the LLC still files Form 568, pays the $800 annual tax and pays the LLC fee if it applies. A single-member LLC completes Side 1, Side 2, Side 3 and Schedule IW (Side 7). The owner reports the business income on their own California return.
What Counts as Doing Business in California?
This test decides whether an LLC formed in Wyoming, Delaware or any other state owes Form 568. An LLC is doing business in California if it actively engages in any transaction for profit in California, if a member, manager or agent conducts business in California for the LLC, or if it crosses any of these 2025 thresholds:
| Factor | Doing business if California amount exceeds |
|---|---|
| Sales | The lesser of $757,070 or 25% of total sales |
| Real and tangible personal property | The lesser of $75,707 or 25% of total property |
| Compensation paid | The lesser of $75,707 or 25% of total compensation |
The FTB adjusts these thresholds for inflation each year. Sales of goods count where they are delivered, and sales of services count where the customer receives the benefit.
The $800 Annual Tax and the LLC Fee
The $800 Annual Tax
Every LLC organized, registered or doing business in California pays an $800 annual tax for each tax year, whether or not it made money, until it cancels with the Secretary of State. Compare it with franchise taxes by state. The tax is prepaid with form FTB 3522 by the 15th day of the 4th month of the tax year, which is April 15 for a calendar-year LLC.
A new LLC pays its first $800 by the 15th day of the 4th month after it files with the Secretary of State. An LLC that files on June 18 pays by September 15. The first-year exemption that let new LLCs skip the $800 only applied to tax years beginning in 2021, 2022 and 2023. LLCs formed since January 1, 2024 pay the $800 in their first year, so budget for it when you start an LLC in California.
The LLC Fee
An LLC with total California income of $250,000 or more also pays an LLC fee. The fee is based on California income, not worldwide income, and not on profit. For filing fees and annual costs in every state, see LLC cost by state.
| Total California income | LLC fee |
|---|---|
| Under $250,000 | $0 |
| $250,000 to $499,999 | $900 |
| $500,000 to $999,999 | $2,500 |
| $1,000,000 to $4,999,999 | $6,000 |
| $5,000,000 or more | $11,790 |
The LLC estimates the fee and pays it with form FTB 3536 by the 15th day of the 6th month of the tax year (June 15 for a calendar year). If the estimate falls short, the penalty is 10% of the underpayment. There is no penalty if the estimate equals or exceeds the prior year’s fee. Any balance is due with Form 568.
The FTB can combine the income of commonly controlled LLCs if it finds they were split up to reduce the fee.
Form 568 Due Dates
| What | Form | Due (calendar-year LLC) | 2027 date |
|---|---|---|---|
| Form 568 for a multi-member LLC or a single-member LLC owned by a partnership, LLC or S corporation | Form 568 | 15th day of the 3rd month after year end | March 15, 2027 (2026 tax year) |
| Form 568 for a single-member LLC owned by an individual | Form 568 | 15th day of the 4th month after the owner’s year end | April 15, 2027 (2026 tax year) |
| $800 annual tax for the current year | FTB 3522 | 15th day of the 4th month of the tax year | April 15, 2027 (2027 tax year) |
| Estimated LLC fee | FTB 3536 | 15th day of the 6th month of the tax year | June 15, 2027 (2027 tax year) |
| Extended Form 568 | Form 568 | 7 months after the original due date for multi-member LLCs; 6 months for single-member LLCs owned by individuals | October 15, 2027 (2026 tax year) |
When a due date falls on a weekend or holiday, it moves to the next business day. In 2026, March 15 fell on a Sunday, so returns were due March 16, 2026.
The extension is automatic and needs no application, but it only extends the time to file. Any LLC fee or nonresident member tax still owed is due on the original due date with form FTB 3537. Suspended LLCs get no extension.
Every Form That Comes With Form 568
| Form | What it is for | Who uses it |
|---|---|---|
| FTB 3522 | LLC Tax Voucher for the $800 annual tax | Every LLC paying by mail |
| FTB 3536 | Estimated Fee for LLCs | LLCs with $250,000 or more of California income |
| FTB 3537 | Payment for Automatic Extension for LLCs | LLCs filing late with a balance due |
| FTB 3588 | Payment Voucher for LLC e-filed returns | E-filed returns paying by mail |
| Schedule IW | LLC Income Worksheet that sets the LLC fee | Every Form 568 filer |
| Schedule K-1 (568) | Each member’s share of income | Multi-member LLCs |
| FTB 3832 | Nonresident Members’ Consent | Multi-member LLCs with nonresident members |
| Schedule T | Nonconsenting nonresident members’ tax | LLCs whose nonresident members did not consent |
| Form 565 | Partnership Return of Income | Partnerships, and unregistered out-of-state LLCs with California income that are not doing business there |
| LLC-4/7 | Certificate of Cancellation, filed with the Secretary of State | LLCs closing down |
Nonresident and Non-US Members
Every nonresident member of a multi-member LLC signs form FTB 3832, agreeing to file a California return and pay California tax on their share. If a member does not sign, the LLC pays tax on that member’s share at the highest marginal rate on Schedule T. A single-member LLC with a nonresident owner signs the consent on Side 3 of Form 568 or completes Schedule T.
For non-US founders, the key question is whether the LLC touches California at all. A Wyoming or New Mexico LLC owned by a non-US resident does not file Form 568 unless it registers in California, does business there or, for a multi-member LLC, earns California income. Selling to California customers alone does not trigger Form 568 until sales cross the doing business threshold. Hiring staff, keeping inventory or having a member work from California does.
Separately from California, a foreign-owned single-member LLC files IRS Form 5472 with the IRS each year it has transactions with its owner, wherever it is formed.
Form 568 Examples
Single-Member California LLC Earning $120,000
A California LLC owned by one person, with $120,000 of California income in 2026:
- $800 annual tax for 2026, paid with FTB 3522 by April 15, 2026.
- No LLC fee, because California income is under $250,000.
- Form 568 for 2026 due April 15, 2027, along with the 2027 annual tax of $800.
Two-Member LLC Earning $600,000
A California LLC with two members and $600,000 of California income in 2026:
- $800 annual tax by April 15, 2026.
- Estimated LLC fee of $2,500 with FTB 3536 by June 15, 2026.
- Form 568 with two Schedules K-1 (568) due March 15, 2027.
- Total state cost for the year: $3,300.
Wyoming LLC Selling to California Customers
A Wyoming LLC owned by a non-US resident sells $1,000,000 of products a year, with no office, staff, inventory or members in California. Its California sales threshold is the lesser of $757,070 or 25% of $1,000,000, which is $250,000.
- $200,000 of sales to California customers: under the threshold. No California registration and no Form 568.
- $300,000 of sales to California customers: over the threshold, so the LLC is doing business in California. It registers with the Secretary of State, pays the $800 annual tax, pays the LLC fee on its California income and files Form 568 every year.
Form 568 Penalties
| Penalty | Amount |
|---|---|
| Late or incomplete return | $18 per member per month, up to 12 months |
| Return not filed by the extended due date | 5% of unpaid tax per month, up to 25%, counted from the original due date |
| Late payment | 5% of unpaid tax, plus 0.5% a month, up to 25% |
| Underpaid estimated LLC fee | 10% of the shortfall |
| Unregistered out-of-state LLC doing business in California | $2,000 |
| Missing California Statement of Information (Secretary of State) | $250 |
The late filing and late payment penalties together cannot exceed 25% of the unpaid tax, but the $18 per member penalty applies on top. A three-member LLC that files four months late owes $216 for that penalty alone.
An LLC that does not file or pay can be suspended (California LLCs) or forfeited (out-of-state LLCs). It loses its rights and powers in California, and contracts it signs while suspended can be voided by the other party. A suspended LLC cannot get a California certificate of good standing until it files, pays and is revived.
How to File Form 568
- Confirm your classification. Form 568 is for LLCs taxed as partnerships or disregarded entities. See LLC tax classification. An LLC taxed as a corporation files Form 100 or 100S.
- Pay the $800 annual tax with FTB 3522 by the 15th day of the 4th month of the year.
- Estimate the LLC fee with FTB 3536 by the 15th day of the 6th month if California income will reach $250,000.
- Complete Schedule IW to calculate total California income and the final fee.
- Complete the return. Single-member LLCs complete Sides 1, 2 and 3 and Schedule IW. Multi-member LLCs complete the full return and a Schedule K-1 (568) for each member.
- Collect FTB 3832 consents from nonresident members, or complete Schedule T.
- File by the due date. E-file through tax software (required when software prepares the return), or mail the paper return to the FTB.
- Pay any balance with Web Pay, a credit card, or FTB 3537 if filing on extension.
Form 568 vs Form 565
| Form 568 | Form 565 | |
|---|---|---|
| Filed by | LLCs taxed as partnerships or disregarded entities | General partnerships, limited partnerships, LLPs, and unregistered out-of-state LLCs that only have California income |
| LLC fee based on California income | Yes | No |
| Single-member LLCs | Yes | No |
| Federal counterpart | Form 1065 (multi-member) or Schedule C (single-member) | Form 1065 |
How to Stop Owing the $800 Tax
The $800 tax and Form 568 continue every year until the LLC cancels, even if it stopped doing business. To close a California LLC:
- File a final Form 568 and pay the $800 annual tax for that final year.
- File Form LLC-4/7, Certificate of Cancellation, with the Secretary of State. A California LLC also files Form LLC-3, Certificate of Dissolution.
- Stop doing business in California after the final tax year.
The cancellation date stops the tax for later years. An LLC that cancels within one year of organizing can file the short form cancellation, LLC-4/8, and does not owe the first-year $800. See how to dissolve an LLC in California.
Can You Avoid Form 568 by Forming in Another State?
Not if you live and work in California. An LLC formed in Wyoming or Delaware that is run from California is doing business in California, so it registers with the Secretary of State, appoints a California registered agent, pays the $800 tax and files Form 568, on top of its home state’s fees. Read home state vs out-of-state LLC and see what foreign qualification involves.
Owners who live outside California and have no presence there do avoid Form 568, and the best state to form an LLC for them is Wyoming or New Mexico.
Forming in California? BusinessAnywhere handles business registration in all 50 states for $0 plus the state filing fee, and our registered agent service in California is $147 a year, free the first year when you form with us.
FAQs
What is Form 568?
Form 568 is California’s Limited Liability Company Return of Income. LLCs taxed as partnerships or disregarded entities file it with the Franchise Tax Board to report the $800 annual tax, the LLC fee and their income.
Does a single-member LLC need to file Form 568?
Yes. A single-member LLC organized, registered or doing business in California files Form 568 and pays the $800 annual tax, even though the owner reports the income on their own return.
When is Form 568 due?
March 15 for multi-member LLCs and single-member LLCs owned by a pass-through entity, and April 15 for single-member LLCs owned by an individual, for calendar-year LLCs. The extended due date is October 15.
Do I file Form 568 if my LLC had no income?
Yes. A registered LLC files Form 568 and pays the $800 annual tax every year until it cancels, with or without income. The LLC fee only applies when California income reaches $250,000. See how to file taxes for an LLC with no income.
Can I file Form 568 online?
Yes, through tax software that supports California business e-file. California requires e-filing when software prepares the return. Payments can be made online with Web Pay.
Is the $800 paid with Form 568?
No. The $800 annual tax is prepaid with form FTB 3522 by April 15 of the tax year. Form 568 reports it after the year ends. The FTB asks LLCs not to send the $800 with Form 568.
Does a new California LLC pay the $800 tax in its first year?
Yes. The first-year exemption only covered tax years beginning in 2021 through 2023. A new LLC pays its first $800 by the 15th day of the 4th month after it files with the Secretary of State.
How do I stop filing Form 568?
Cancel the LLC. File a final Form 568, pay the $800 annual tax for that year and file Form LLC-4/7, Certificate of Cancellation, with the California Secretary of State. See how to dissolve an LLC in California.
Sources
- 2025 Form 568, Franchise Tax Board (PDF)
- 2025 Instructions for Form 568, Franchise Tax Board
- Limited liability company, Franchise Tax Board
- Business Programs, California Secretary of State
