SECRETARY DANIELS REMINDS AR BUSINESSES OF FRANCHISE TAX DEADLINE
Monday, Apr 30, 2007
Contact: Natasha Naragon
(501) 683-1441
(LITTLE ROCK, ARK.) - Arkansas Secretary of State Charlie Daniels today reminded Arkansas businesses that annual reports and franchise taxes are due by midnight tomorrow to the Secretary of State's Business and Commercial Services (BCS) Division.
Every incorporated business, whether domestic or foreign, pays an annual fee to do business in Arkansas. In January 2007, approximately 103,000 corporations received their annual reporting form. The taxes are payable between January and May 1st annually. Around eighty percent of the state's corporations pay the minimum franchise tax rate of $150.
These corporate taxes generated $9 million in state revenue in 2004, $18.5 million in 2005, and $19.6 million in 2006. The large increase in the amount collected from 2004 to 2005 was the result of legislation raising the amounts, with the excess tax going to the Educational Adequacy Fund.
Corporations have the option of filing their franchise taxes online, 24 hours a day, by visiting the Secretary of State's website at
www.sos.arkansas.gov. The easy-to-use system provides automatic calculations to eliminate math errors that frequently slow down processing time. The system generates e-mail confirmations and copies of each completed filing. Credit cards and electronic checks are accepted.
Corporations can also pay in person at BCS located in the Victory Building in Little Rock at 1401 W. Capitol, Suite 250, or by mailing their tax forms to the following address: P.O. Box 8014, Little Rock, AR 72203-8014. They must be postmarked by midnight May 1st. BCS is open from 8 a.m. to 5 p.m. Monday through Thursday, and 8 a.m. to 4:30
p.m. on Friday. For additional information, call BCS at 501-682-3409 or toll-free at 888-233-0325.
