Alabama officially eliminated annual report filings for corporations, effective October 1, 2024. For 2025 and beyond, annual reports are no longer required, but the Alabama Business Privilege Tax does, with strict penalties for non-compliance.
This guide explains why annual reports are no longer required and outlines your current compliance responsibilities.
No. Alabama businesses no longer file annual reports as of October 1, 2024. Alabama Act No. 2024-213 permanently eliminated this requirement for corporations, LLCs, limited partnerships, and all other business entities previously subject to annual reporting.
The Secretary of State confirmed this change removes both the filing obligation and the associated $10 annual fee that corporations previously paid to maintain their registration.
While annual reports are gone, you must still submit tax returns according to established deadlines. You simply no longer need to include the annual report documentation.
The Department of Revenue actively enforces these requirements with significant penalties for non-compliance.
Alabama law requires every business entity to maintain a registered agent who can receive legal documents during regular business hours. This requirement survived the elimination of the annual report because it serves a different compliance function, ensuring that the state and legal parties can reliably contact your business.
All businesses operating in Alabama must maintain a registered agent with:
Discern's registered agent service maintains your compliance with these requirements while providing immediate notification of any received documents through our secure compliance portal.
Are annual reports still required in Alabama?
No, Alabama eliminated the annual report filing requirement effective October 1, 2024, through Alabama Act No. 2024-213. This applies to all corporations, LLCs, and other business entities.
Do I still need to file a Business Privilege Tax return?
Yes, the Business Privilege Tax filing requirement continues unchanged. Your return must be filed by April 15th for calendar-year entities or the 15th day of the 4th month following your fiscal year-end for fiscal-year entities.
What happened to the $10 annual report fee?
Alabama has eliminated the $10 annual report fee, along with the annual report requirement for corporations. You no longer pay this fee to maintain your corporation's registration.
How do I change my principal address or registered agent information?
Update your information through the Secretary of State's online portal or submit Form C-3 when you file your next Business Privilege Tax return.
What's changed and what remains?
With Alabama's elimination of annual reports, your compliance burden has decreased, but Business Privilege Tax obligations remain fully enforced. The April 15th deadline still applies; accurate net worth calculations are required, and penalties start at $50, plus monthly interest, for non-compliance.
Alabama's elimination of annual reports reduced compliance complexity, but maintaining a registered agent and tracking Business Privilege Tax deadlines requires ongoing attention. Missing either requirement creates legal exposure that can jeopardize your business standing.
Discern provides registered agent services across Alabama and all 51 jurisdictions, with automated compliance tracking that ensures you never miss critical deadlines.
Ready to eliminate compliance uncertainty? Book a demo to see how Discern manages your registered agent requirements and compliance obligations.
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