Last Verified: January 31, 2026

Why is state compliance important for my IRA LLC?

1. What are the annual filing requirements for an Alabama IRA LLC?

• Primary Filing: Business Privilege Tax Return and Annual Report (Form PPT).

• Ongoing Due Date: March 15th annually for Limited Liability Entities.

• Due Date for First Year Filing: Within 2.5 months of the IRA LLC's initial registration date (Form BPT-IN).

• Earliest Date You May File: January 1st of the current tax year.

• State Filing Fee: Minimum $50.00 (exempt if the calculated tax is under $100 for tax years beginning on or after January 1, 2024).

• Late Penalty: $50.00 or 10% of the tax due, whichever is greater.

• Portal: My Alabama Taxes (MAT).

2. How do I pay state filing fees for my IRA LLC?

All state-level filing fees for your IRA LLC must be paid directly from the LLC's capital to avoid prohibited transaction violations.

• Online Filing: Use the IRA LLC’s business debit card for immediate processing.

• Mail Filing: If submitting by mail, use a physical check issued from the IRA LLC bank account.

• Prohibited Act Warning: Paying operating expenses such as state fees with personal funds is an "Extension of Credit" to your retirement plan and may result in a prohibited transaction.

3. What is the Alabama "Small Business" Tax Exemption?

Effective for tax years beginning on or after January 1, 2024, Alabama law (Act 2022-252) provides significant relief for small entities.

• The $100 Exemption: IRA LLCs that owe less than $100 in Business Privilege Tax are now exempt from the payment.

• SOS Annual Report Eliminated: The separate Annual Report formerly filed with the Secretary of State has been repealed for LLCs; compliance is now managed solely through the Department of Revenue.

• Mandatory Filing: Even if no tax is due under the exemption, the IRA LLC may still be required to submit the informational return to maintain an "Active" status.

4. How do I check my IRA LLC status online?

You can verify the current standing of your entity via the Secretary of State’s public database.

• Search Tool: Alabama Business Entity Search.

• What to look for: Search by your IRA LLC name or 9-digit Entity ID. The status should reflect "Exists" or "Active".

• Address Updates: Since the Annual Report has been eliminated, changes to your registered agent or office must be filed via a "Change of Registered Agent" form with a $100 fee.

5. How do I restore my IRA LLC to "Good Standing"?

If your IRA LLC has been dissolved or is no longer in good standing, you must complete the reinstatement process:

• Step 1: File Missing Returns: Submit all delinquent Business Privilege Tax returns (Form PPT) to the Department of Revenue.

• Step 2: Pay Balances: Pay all overdue taxes, interest, and the $50 minimum late penalty for each missed year.

• Step 3: Certificate of Reinstatement: File a "Domestic LLC Certificate of Reinstatement" with the Secretary of State.

• Step 4: Filing Fee: Include the $100.00 Secretary of State processing fee plus any required local county filing fees.

6. Who is responsible for tracking my IRA LLC's deadlines?

While the State of Alabama may send notices to your registered agent, it is the sole responsibility of the IRA LLC Manager to ensure all filings are submitted by the mandated deadlines.

• Best Practice: Set a personal recurring calendar reminder for February 15th each year (30 days before the deadline) to ensure your Business Privilege Tax return is filed and your entity remains in good standing.

7. Who do I contact for Alabama support?

• Agency (Reporting/Taxes): Alabama Department of Revenue | Phone: (334) 242-1170

• Agency (Entity Status): Alabama Secretary of State, Business Services | Phone: (334) 242-5324

• Mailing Address: Alabama Secretary of State, P.O. Box 5616, Montgomery, AL 36103-5616