# Delaware franchise tax calculator

Canonical: https://finbryn.com/us/tools/delaware-franchise-tax-calculator

A Delaware corporation pays the lower of two franchise taxes, the Authorized Shares Method (from $175) or the Assumed Par Value Capital Method (from $400), plus a $50 annual report fee ($25 if exempt), all due March 1. Enter your authorized shares, par value, issued shares and gross assets to see both methods and the lower amount.

An estimate for planning, checked against corp.delaware.gov on the date below. It assumes one class of stock at one par value. Not tax or legal advice.

## Worked example

A startup has 10,000,000 authorized shares at $0.00001 par, 8,000,000 issued shares and $250,000 of total gross assets. The Authorized Shares Method gives $85,165. The Assumed Par Value Capital Method divides $250,000 by 8,000,000 issued shares for an assumed par of $0.03125, which is above the stated par, so the assumed par applies to all 10,000,000 authorized shares: $312,500 of assumed par value capital, which at $400 a million is $125, so the $400 minimum applies.

The lower is $400. Adding the $50 annual report fee, the total due by March 1 is $450.

## FAQ

**Q: How do I calculate Delaware franchise tax?**

A: Work out both methods and pay the lower. The Authorized Shares Method charges $175 for 5,000 shares or fewer, $250 for 5,001 to 10,000, and $85 more for each additional 10,000 shares or part of 10,000. The Assumed Par Value Capital Method divides total gross assets by issued shares, applies that to the authorized shares and charges $400 per million, counting any part of a million as a full million once the total is $1,000,000 or more, with a $400 minimum.

**Q: Why is my Delaware franchise tax bill so high?**

A: The assessment on the notice is based on authorized shares, which gets expensive when a company authorizes millions of them. A startup with a large authorized pool and small assets usually pays far less under the Assumed Par Value Capital Method. Recalculate it and file with that figure. The tax is never below $175 or above $200,000, except for a Large Corporate Filer.

**Q: When is Delaware franchise tax due?**

A: March 1 each year, together with the annual report, for the prior year. A corporation owing $5,000 or more makes estimated payments: 40% by June 1, 20% by September 1, 20% by December 1, and the remainder by March 1.

**Q: What is the Delaware annual report fee?**

A: $50 for a non-exempt domestic corporation and $25 for an exempt one, effective September 1, 2019. It is paid with the franchise tax when the annual report is filed online. This calculator adds it to the total due March 1.

**Q: What happens if I miss the March 1 Delaware deadline?**

A: Delaware charges a $200 penalty for failing to file the report and pay the tax, plus 1.5% interest for each month or part of a month on the unpaid tax.

**Q: Does this calculator work for a Delaware LLC?**

A: No. It covers corporations only. Delaware LLCs, limited partnerships and general partnerships pay a separate annual tax that this calculator does not compute. Check the Delaware Division of Corporations for the current LLC amount and date.

[Franchise tax preparation support](/us/services/tax-preparation-support/franchise-tax) and [state annual report filing support](/us/services/business-setup-compliance/state-annual-reports) calculate the figure, track the March 1 date and request good-standing certificates. The report is submitted by the entity's owner, registered agent or an authorized filer.

## Sources

1. [Delaware Division of Corporations, How to Calculate Franchise Taxes](https://corp.delaware.gov/frtaxcalc/) (2026-10-24)
2. [Delaware Division of Corporations, Annual Report and Tax Instructions](https://corp.delaware.gov/paytaxes/) (2026-10-24)
3. [Delaware Division of Corporations, Franchise Tax FAQs (penalty, interest, Large Corporate Filer)](https://corp.delaware.gov/taxfaq/) (2026-10-24)

Last checked October 24, 2026

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