Make Fillable Legal North Carolina Franchise Forms For Free

The North Carolina franchise tax does not apply to an organization if it is exempt from federal income tax, it is not organized for profit, or no profit inures to the benefit of any member, shareholder or other individual.

If an LLC is treated as a C Corporation for federal tax purposes and a corporate member has activities in this State in addition to its ownership interest in the LLC, the corporate member(s) is required to file a corporate income and franchise tax return.

The franchise tax rate is $1.50 per $1,000.00 of the corporation's net worth or other alternative tax schedule. The minimum franchise tax is $200.00 with no maximum except for a qualified holding company. The corporate income tax rate is 2.5% of net income attributed to North Carolina.

The franchise tax can be no less than $200 with no maximum except for a qualified holding company." Per the NC C-Corporation Instructions: "Franchise tax is computed by applying the rate of $1.50 per $1,000.00, and can be no less than $200." ?Note: No franchise tax is calculated on a final return.

Purpose of Form: Use Form NC-8453 to authenticate the electronic portion of your North Carolina Individual Income Tax Return, Form D-400, and North Carolina Tax Credits, D-400TC. You must complete Form D-400, and Form D-400TC if applicable, before you complete Form NC-8453.

There is no limitation on the amount of franchise tax payable where the tax produced by the investment in tangible property or appraised value of property exceed the tax produced by the net worth tax base (formally the capital stock, surplus, and undivided profits tax base).