Can An Annual Report Be Rejected?

One frequently asked small business question is about annual reports. Most small businesses know they need to file an annual report. However, businesses which do not properly file. This may result in an annual report rejection.

Why would this happen? Let’s look at some of the most common reasons for an annual report rejection.

Incorrect Fee

An annual report is a document recording any changes made in a business over the course of a year. To file annual report, you must complete the appropriate form and pay a filing fee. This form is due each year with an annual report deadline. The deadline varies depending on your state of incorporation. By filing an annual report, you enable your business entity to maintain active status in its state of incorporation.

However, it is possible for the state to reject an annual report if the fee is incorrect. Look closely at the filing fee. Make sure the amount you’re paying is correct for your entity formation type.

No Officer Is Listed

This type of rejection is specific to corporations. A for-profit corporation must have at least one officer listed on their annual report. Otherwise, the state may reject the report.

Similarly, an annual report may be rejected if there isn’t a board of directors listed for a corporation. This is also true of not marking the box indicating the board is the same as the officers listed or not marking the box indicating the corporation does not have directors.

Insufficient Completion

If an annual report is not filled out using ink or typed out, it may be rejected by the state of incorporation.

No Signature

An annual report may be rejected if it does not have a signature. This is also true of annual reports without a date. Make sure to sign and date your annual report. You may sign using an original signature or an electronic signature.

File your annual report today. Contact MyCorporation at mycorporation.com or give us a call at 877-692-6772.

Deborah Sweeney

Deborah Sweeney is an advocate for protecting personal and business assets for business owners and entrepreneurs. With extensive experience in the field of corporate and intellectual property law, Deborah provides insightful commentary on the benefits of incorporation and trademark registration.

Education: Deborah received her Juris Doctor and Master of Business Administration degrees from Pepperdine University, and has served as an adjunct professor at the University of West Los Angeles and San Fernando School of Law in corporate and intellectual property law.

Experience: After becoming a partner at LA-based law firm, Michel & Robinson, she became an in-house attorney for MyCorporation, formerly a division in Intuit. She took the company private in 2009 and after 10 years of entrepreneurship sold the company to Deluxe Corporation. Deborah is also well-recognized for her written work online as a contributing writer with some of the top business and entrepreneurial blogging sites including Forbes, Business Insider, SCORE, and Fox Business, among others.

Fun facts/Other pursuits: Originally from Southern California, Deborah enjoys spending time with her husband and two sons, Benjamin and Christopher, and practicing Pilates. Deborah believes in the importance of family and credits the entrepreneurial business model for giving her the flexibility to enjoy both a career and motherhood. Deborah, and MyCorporation, have previously been honored by the San Fernando Valley Business Journal’s List of the Valley’s Largest Women-Owned Businesses in 2012. MyCorporation received the Stevie Award for Best Women-Owned Business in 2011.