State Processing Fees and Times
Wondering what the processing time and fees are for starting an Arizona corporation? We have a list of the average wait times for both standard and expedited filings.
Arizona charges a corporation filing fee. Visit "Compare Pricing" in our incorporation center to see all state fees for Arizona.
Deciding Between an Arizona S Corp and a C Corp Tax Designation
Because limits on liability, structure, management and compliance documents are the same, deciding between filing an S Corp or a C Corp in Arizona comes down to the following differences:
- Ownership Rules: A C Corp can have unlimited shareholders and unlimited stock classes. An S Corp is limited to a maximum number of shareholders, usually 100, and only one stock class.
- Taxes: A C Corp is taxed separately. It pays taxes at the corporate level, and shareholders may also pay taxes on dividends they receive. S Corps are "pass-through" tax entities. They pay no taxes at the corporate level. Taxes are paid individually by the owners instead.
- Documents: An S Corp must file IRS Form 2553 to elect S Corp status.
Personnel Requirements for Your Arizona Corporation
Every state has its own personnel requirements for incorporating. In Arizona, they include the following:
- Age requirement: There are no age requirements for incorporators or directors in Arizona.
- Number of directors: Corporations must have at least one director.
- Residency: There are no residency requirements.
Other Requirements for Your Articles of Incorporation
In addition to personnel requirements, your Arizona Articles of Incorporation must also include the following information.
Every corporation should appoint a registered agent. A registered agent is the person or business responsible for receiving tax, legal and government documents for your corporation during regular business hours, and every corporation needs one. Your corporation's registered agent must have an address in the state. In Arizona, your agent and his or her address must be included in your Articles of Incorporation. We can help you designate your registered agent when you incorporate with us.
You must also include the following in your Articles of Incorporation in Arizona:
- The number of shares authorized and their par value.
- The names and addresses of your corporation's initial board of directors.
- The names and addresses of the incorporators.
- The initial business of the corporation.
- The street address of the corporation's place of business.
- The signature of your incorporators and registered agent.
Other Required Paperwork
Arizona law requires that you publish notice of your corporation's formation in a newspaper serving the corporation's place of business for three consecutive days. If the newspaper does not publish daily, you may have to publish longer. Your corporation must also file a Certificate of Disclosure with its Articles of Incorporation.
Guidelines for the Name of Your Arizona Corporation
Your corporation's name is how it will be known to the world. Make sure yours meets Arizona's requirements.
- Your company's name must include "Association," "Incorporated," "Corporation," "Company," "Limited," or an abbreviation of one of these terms.
- The words "Bank," "Banc" or "Bancorp" cannot be used without approval from the Department of Banking.
- Your corporation's name must be distinguishable from all other business entity names already on file in Arizona.
Arizona Corporate Taxes and Reports
Arizona requires that your corporation file an annual report each year during the month of the corporation's anniversary date.
Although it's not the most enjoyable part of owning a business, you'll have to pay taxes for your new corporation. Before you can start doing business, apply to the IRS for an EIN, an employer identification number. An EIN is the equivalent of your company's Social Security number. We have more information about the tax structures and obligations of both C Corps and S Corps.
Corporate Record Keeping and Filing Requirements
Arizona also requires that your corporation create and keep corporate records. These include:
- Meeting minutes
- The most recent annual report
- Articles of Incorporation
- Correspondence with shareholders
- A list of the names and addresses of the directors and officers
It's recommended that you keep these documents even when they're not required by the state. They help protect the legality of your corporate status. We have more detailed information about Arizona's requirements for bylaws and meeting minutes.
Starting a new corporation is exciting and challenging. We wish you success and prosperity, and we have all the legal documents, filing and tax information you'll need to get started.
This article contains general legal information and does not contain legal advice. Rocket Lawyer is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.