Key Takeaways

  • Georgia LLCs benefit from pass-through taxation, but owners must pay self-employment taxes.
  • LLCs must file an annual registration with a $55 fee by April 1; additional late fees apply.
  • LLCs may be subject to corporate income and net worth taxes if taxed as corporations.
  • Employers must register for and remit withholding and unemployment insurance taxes.
  • LLCs selling goods or services must register for Georgia sales and use tax, and may also owe local taxes.
  • Georgia allows an election for Pass-Through Entity Tax (PTET) treatment for partnerships.

Georgia LLC tax is a requirement after becoming a limited liability corporation in Georgia. There are certain taxes and fees that are required to be paid. However, an LLC does not always treat taxes and taxable income the same as other corporation types, such as a regular corporation, an S corporation, a partnership, or sole proprietorship.

Like many other states, there are a few different types of taxes in Georgia. There is the state sales tax, which is 6 percent, and the use tax, which is 9 percent. There may be additional taxes owed, based on the type of business.

Limited Liability Corporation Tax Benefits

There are a few benefits to being a limited liability corporation in Georgia, especially when it comes to paying state or federal taxes:

  • The LLC is not required to pay income taxes
  • Any business expenses can be written off

Since a limited liability corporation is a pass-through entity, the LLC will not be required to pay the same federal or state taxes as a corporation. Instead of the taxes being paid for by the company, the taxes are essentially passed to the owner of the business.

For example, say there is a limited liability corporation that has two partners who own equal parts of the company and its profits. If the LLC earns a federal taxable income of $1 million for the year, the two partners will split the income and each will get $500,000 in earnings from the company. Each of the partners is then required to pay taxes for the $500,000 on their individual Georgia tax returns. This amount will be taxed in addition to any other income that is taxed for the individual.

Since the income from the LLC is accounted for on the owner's personal filings, the owner must also pay self-employment taxes on this income. Self-employment taxes include FICA, Social Security, and Medicare tax. These taxes must be paid for all of the owner's earnings and is usually paid at a rate of 15.3 percent of the taxable income.

However, since the owner is filing as self-employed, they have the ability to deduct or write-off certain business expenses that they incur. These deductions can help to reduce some of the taxable income for the individual.

Annual Registration Requirements for Georgia LLCs

Every Georgia LLC must file an annual registration with the Secretary of State to remain in good standing. The standard filing fee is $55, and it must be submitted by April 1 each year. Businesses may file for one, two, or three years in advance. Filing online is encouraged, but if filing by mail or in person, there is an additional $10 service fee. Georgia offers a streamlined One Click Registration for LLCs with no changes to report. Failing to register on time may result in administrative dissolution.

Corporate Income Taxes

Partnerships and sole proprietorships in Georgia are also subject to some of the same tax filing rules as an LLC. Net income for these types of business should also be claimed by the owner or owners and accounted for on their personal tax filings. However, corporations are required to pay corporate income tax in Georgia, which is set at 6 percent. All Georgia corporations must pay the income tax as well as net worth tax.

For example, say the corporation had a taxable income in the amount of $1 million and the corporation's net worth was $2 million. All else equal, and not including adjustments, the corporation would owe the state of Georgia $60,000 for state income taxes. In addition, the corporation would owe the state of Georgia money based on the IT 611 tax table.

Georgia Net Worth Tax for LLCs Taxed as Corporations

LLCs that elect to be taxed as corporations are not only responsible for Georgia’s 5.39% corporate income tax, but may also be subject to the net worth tax. This tax is based on the company's net assets and ranges from $10 to $5,000, depending on the entity’s net worth. Form 600 must be filed annually with the Georgia Department of Revenue to report this tax obligation.

Paying Business Taxes in Georgia

In order to pay taxes in Georgia, a company will need to request a State Tax Identification Number or STIN. The STIN is a way to reference the tax license, credits, and liabilities of the business. You can apply for a STIN online on the state of Georgia's website or in person at a Georgia Tax Center.

Employer Taxes for Georgia LLCs with Employees

If your Georgia LLC has employees, you must comply with the following employer tax obligations:

  • State Withholding Tax: Register with the Georgia Department of Revenue via the Georgia Tax Center (GTC) and file withholding taxes periodically (monthly, quarterly, etc.). Annual reconciliation is done using Form G-1003.
  • Unemployment Insurance Tax: Administered by the Georgia Department of Labor. Employers must register and file quarterly reports using the Online Employer Tax Registration system.
  • Ensure accurate and timely compliance to avoid penalties. The Georgia Department of Revenue provides a comprehensive Employer’s Withholding Tax Guide for support.

Federal Income Taxes

Business taxes are to be paid quarterly. The payments are expected to the IRS by the 15th day of the fourth, sixth, ninth, and 12th months of the year. Businesses must pay these quarterly estimated tax payments by using Form 602ES in the State of Georgia.

Typically, an S corporation will use the Form 1120S and file it by the 15th day of the third month following the end of the tax year. For corporations following the calendar year, the due date to the IRS will be March 15th. S Corp annual taxes due on the 15th day of the third month, including a net worth tax (Form 600S), must be submitted to the State of Georgia.

Georgia Pass-Through Entity Tax (PTET) Election

Multi-member Georgia LLCs taxed as partnerships can elect to pay the Pass-Through Entity Tax (PTET) at the entity level. This allows the LLC to pay state income tax directly, and members receive a corresponding credit on their personal returns. Single-member LLCs are not eligible. The election is made annually via Form 700 and must be renewed each tax year. This option may offer favorable tax treatment in certain cases.

Frequently Asked Questions

1. Does a Georgia LLC need to file an annual report? Yes. Georgia LLCs must file an annual registration with the Secretary of State by April 1 each year, along with a $55 fee.

2. What is the corporate tax rate in Georgia for LLCs taxed as corporations? As of 2025, the corporate income tax rate in Georgia is 5.39%, plus a potential net worth tax based on the LLC’s assets.

3. Are Georgia LLCs subject to franchise taxes? No, Georgia does not impose a franchise tax on LLCs unless they elect to be taxed as corporations.

4. Do Georgia LLCs with employees have special tax obligations? Yes. Employer obligations include withholding income tax from wages and paying state unemployment insurance taxes.

5. What is the Georgia Pass-Through Entity Tax (PTET)? The PTET allows eligible LLCs taxed as partnerships to pay income tax at the entity level, with members receiving personal tax credits. This election must be made each year.

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