Florida's corporate income/franchise tax applies to corporations and artificial entities conducting business or earning income in the state. The tax rate is 5.5% on net income exceeding a $50,000 exemption.

Temporary rate reductions for 2019 through 2021 have fully expired. The 5.5% rate applies for all taxable years beginning on or after January 1, 2022, as confirmed by the Florida DOR rates page. As of May 2026, no Florida DOR guidance indicates a different rate for 2025 or 2026.

Who is subject to Florida's corporate income tax?

The tax applies to these entities:

• C corporations doing business, earning income, or existing in Florida

• LLCs electing corporate taxation (filing federal Form 1120)

• Foreign corporations with Florida nexus

• Banks and savings associations doing business in Florida

• S corporations that pay federal income tax at the entity level, for example on built-in gains or excess net passive income reported on Form 1120-S

• 501(c) organizations with unrelated business taxable income

Exempt entities

• Disregarded single-member LLCs, multi-member LLCs treated as partnerships, partnerships, and sole proprietorships are not separate Florida corporate income taxpayers. If a corporation owns a disregarded single-member LLC, the corporation must report that LLC's income on its Florida corporate return.

• Organizations tax-exempt under IRC Section 501 (unless they have unrelated business taxable income)

• Homeowner and condominium associations filing federal Form 1120-H are treated as exempt under DOR administrative guidance; those filing federal Form 1120 generally must file Florida Form F-1120

• Charitable trusts, effective for tax years beginning January 1, 2026, per TIP 25C01-01

Florida's corporate income tax is structured differently from traditional capital-based franchise taxes, which impose a separate levy based on capital or net worth rather than net income.

Filing requirements and deadlines

Corporations subject to Florida corporate income tax must file a return even if no tax is due. The two primary forms are:

• Form F-1120A (Short Form): For corporations with Florida net income of $45,000 or less that (1) conduct 100% of their business in Florida, (2) have no credits or alternative minimum tax, and (3) do not owe an estimated tax penalty

• Form F-1120 (Standard Form): For all other corporations, including those with multi-state operations or foreign registrations in new states

These can be filed online via the DOR eServices portal.

Deadlines

Returns are due the first day of the fifth month after your tax year ends, per TIP 16C01-03, which means May 1 for calendar-year filers. Confirm against current Florida DOR instructions each year, since deadlines and any extensions are subject to change.

To obtain a six-month Florida filing extension, you must file Form F-7004 with the Florida Department of Revenue by the original Florida due date and pay any tentative tax due. A federal extension does not, by itself, satisfy Florida's filing requirements for an extension. Corporations expecting to owe more than $2,500 must make quarterly estimated tax payments.

Penalties

• Late filing penalty: 10% per month (or fraction thereof), capped at 50% of unpaid tax

• Late payment interest: a floating rate reset semiannually. The rate was 12% for 2025 per TIP #25ADM-01 and dropped to 11% for January 1 through June 30, 2026

• Underpayment of estimated tax: Florida imposes a 12% per-year underpayment-of-estimated-tax penalty, computed separately from the floating interest on late payments. Both can apply for the same tax year, but they are calculated on different amounts and periods.

Tax incentives and credits

Florida's corporate income tax incentives currently include programs such as the Child Care Tax Credit, the Individuals with Unique Abilities Tax Credit, and a capped Research and Development (R&D) credit. The R&D credit's availability depends on annual legislative authorization and statewide caps, so confirm current eligibility windows against the DOR corporate incentives page before relying on any specific credit.

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Florida's corporate income tax is one thread of a broader compliance picture: annual reports, registered agent coverage, and good-standing status all sit alongside the tax filings you handle with your accountant. Discern can help with your Florida annual report through Sunbiz and serve as your registered agent across all 51+ U.S. jurisdictions.

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Frequently asked questions

Below are answers to common questions about Florida's corporate income tax obligations.

What is the current Florida corporate income tax rate?

The rate is 5.5% on net income exceeding the $50,000 exemption, effective for taxable years beginning on or after January 1, 2022.

Do LLCs pay Florida corporate income tax?

Only LLCs that elect corporate taxation and file federal Form 1120 owe Florida corporate income tax. LLCs treated as partnerships or disregarded entities are exempt, though a disregarded LLC's income flows to its owner's return if that owner is itself subject to Florida corporate income tax.

When is the Florida corporate income tax return due?

Calendar-year filers must file by May 1. A six-month extension requires filing Form F-7004 with the Florida DOR by the original due date and paying any tentative tax due.