Florida Corporation Filing Requirements

Florida S Corporation requires the shareholders to pay personal income tax, while a few may qualify for net investment income tax. At the same time the S Corporation includes federal unemployment tax and federal payroll taxes. Florida S Crop filing requirements excludes state income taxes for Shareholders and S corporation. But the S Corporation need to pay excise tax and sales tax.

Must Pay Federal Taxes

Florida S corporations, same as in the U.S., are not subjected to federal corporate tax. However, relying on the business line and its structure, and S corporation is asked to pay these taxes.

Payroll taxes – These are around 15.3 % of employee’s wages. It includes Social Security taxes and Medicare. The S corporation withholds from the employee half amount and contributes another half.
Personal Income tax – The S corporation shareholders in Florida have to pay for their share of earnings the income tax. The rates are from 10 to 37%, based on the shareholders income.

FUTA tax– There is a FUTA tax levied as corporations spend $1500 on wages during any quarter or hire one employee at least for 20 weeks to work part of a day, or for more time in any quarter. The S corporations include farm workers and if they pay $20,000 in any quarter on the wages of farm workers, or hire for at least 10 weeks nearly 10 workers for some time to work in a day, they are regarded as eligible. The tax is around 6% of the wages, yet S corporation gets deductions for the money contribute to FUTA, Florida unemployment fund.
Net Investment Tax– This needs nonactive shareholders individually earning at least $200,000 or $250,000, based on the Net investment income tax, in case they jointly file as a couple.

Anyone getting Florida corporation rejected filing knows the process is frustration. However, the rejection reasons can be prevented. The common issues that can be avoided and ensure you save time and frustration include:

Name not available. Check the availability before filing.
Reserved the name by another company or agent, so that there is no issue.
Filing a qualification that has Good Standing Certificate from another state of formation. It is a must that an entity incorporated in the Delaware state has the Good standing certificate qualification from Delaware.
Incorrect signature during filings.
Overlooking the requirements that may be unique with some states.
Illegible filing copy.
Check amount is paid to the wrong division.
Incomplete requirements of required articles