Overview of Taxes for Oklahoma LLCs
Most Oklahoma LLCs are taxed as sole proprietorships or partnerships, with the owners (members) reporting LLC income and expenses on their personal tax returns, just as they would if the LLC had never been formed. By default, LLCs themselves do not pay income taxes, only their members do.
Types of Taxes for Oklahoma LLCs
- All members of an LLC in Oklahoma are required to pay self-employment tax at the rate of 15.3%.
- LLCs with C-Corp status must pay federal corporate income tax at the rate of 21% and 4% corporate income tax.
- Some LLCs pay Oklahoma sales tax on $100,000 worth of taxable merchandise.
Oklahoma LLC Tax Regulations
- In Oklahoma, you form an LLC by filing Oklahoma articles of organization, which requires a $100 fee.
- LLCs in Oklahoma are relatively inexpensive, especially when you consider that an LLC can protect your personal assets and help grow your business.
How Taxes Work for LLCs
- When we talk about the classification of LLC taxes in Oklahoma, we know that it is a pass-through taxation structure.
- LLCs in Oklahoma are not subject to the franchise tax but may still be subject to state income taxes requiring $1.25 for each $1000 of capital used in Oklahoma.
Dissolution and Taxes
- An LLC in Oklahoma can be dissolved or cancelled by filing the necessary forms with the Oklahoma Secretary of State and paying any necessary fees.
Additional Information
- Some entities are exempt from franchise taxes, namely fraternal organizations, nonprofits, and certain LLCs.
- Oklahoma Business Taxes for LLCs. Business taxes are inevitable, and your LLC will need to pay a variety of taxes to both the federal and state governments.
- Paying taxes is an important part of running a business, but figuring out which taxes you need to pay can be a pain. This lesson will provide you with general resources and the basics of Oklahoma LLC tax filing requirements.