Believing the pitch that "an S corp saves you state income tax." In Florida it saves exactly $0 of state income tax, because Florida has no individual income tax — the entire benefit of the S election in Florida is federal self-employment tax reduction, and that benefit is offset by real costs (payroll processing, a separate 1120S return, reemployment tax on the owner's wages, and the risk of an IRS reasonable-compensation adjustment). The runner-up, and the more expensive operational mistake, is missing the May 1 Sunbiz annual report: the $400 late fee is statutory and non-waivable, and continued failure leads to administrative dissolution.
No personal income tax
S-corp election in Florida
In short
None in the normal case. Florida corporate income tax (5.5%) applies to an S corp only if it pays federal income tax on Line 23c of Form 1120S. There is no franchise tax, no net worth tax, and no minimum tax.
Does Florida recognize the federal S election?
Florida has no individual income tax at all, so there is nothing for a federal S election to "save" at the state level. Florida also has no separate state S election. For Florida corporate income tax purposes, a corporation with a valid federal S election is generally not a taxpayer and does not file Form F-1120 — with one exception. The Florida DOR corporate income tax page states that "S corporations that pay federal income tax on Line 23c of Federal Form 1120S" must file a Florida return. In practice that means an S corp only files F-1120 if it owes federal entity-level tax (built-in gains tax, LIFO recapture, or excess net passive income tax). A normal operating S corp with no line 23c tax files nothing with the Florida DOR for income tax.
Tax the entity still owes
Florida corporate income/franchise tax rate is 5.5% for tax years "On or After 1/1/2022" per the Florida DOR (the temporary reductions to 3.535% expired; 5.5% is the current rate and remains in effect for 2026). A $50,000 exemption is subtracted from Florida net income ("You should then subtract an exemption ($50,000 as of December 31, 2015)"). Form F-1120 is due "on or before the 1st day of the 5th month following the close of the tax year" or "the 15th day following the due date, without extension, for the filing of the related federal return," whichever is later. Again: an S corp with no Line 23c federal tax does not file F-1120. The only recurring state-level money an S corp owes is the Sunbiz annual report fee and reemployment (unemployment) tax.
Registering for payroll
There is NO Florida state income tax withholding account — Florida does not withhold state income tax from wages, so the owner's W-2 has no Florida withholding box to fill. The one payroll registration required is Florida reemployment tax (unemployment insurance), administered by the Florida Department of Revenue (not the Department of Commerce, which handles benefits): "The Florida Department of Revenue has administered the reemployment tax since 2000." Register via the Florida Business Tax Application. Liability triggers include "At least one quarterly payroll totaling $1,500 or more" or "One or more employees for a day (or portion of a day) during any 20 weeks in a calendar year" — a single owner-employee on reasonable compensation will hit this immediately. "The initial tax rate for new employers is.0270 (2.7%), which is applied to the first $7,000 in wages paid to each employee during a calendar year."
Annual filings
(1) Florida Department of State / Sunbiz Annual Report — due by May 1 each year. "Annual Report - Profit Corporation $150.00." "A $400 late fee will be imposed on all profit corporations, limited liability companies, limited partnerships and limited liability limited partnerships" that miss May 1, and there is no provision to abate or waive it. (2) Form RT-6 (Employer's Quarterly Report) plus RT-6A continuation sheet, due by the end of the month following each quarter: April 30, July 31, October 31, January 31. (3) Form F-1120 only if the S corp pays federal tax on Form 1120S Line 23c. (4) No state withholding returns, no state W-2 reconciliation, no franchise/net-worth return.
Pass-through entity tax
Florida has no pass-through entity tax and cannot have a meaningful one — a PTET is a workaround for the federal SALT cap on state INDIVIDUAL income taxes, and Florida imposes no individual income tax. Do not offer a Florida PTET option in the product.
The mistake owners make most often in Florida
Filing your federal Form 2553
Businesses operating in Florida send Form 2553 to the IRS Ogden service center — fax 855-214-7520. Full address and filing checklist for Florida.
Frequently asked questions
Does Florida require a separate S-corporation election?
No. Florida does not require a separate state election. Florida has no individual income tax at all, so there is nothing for a federal S election to "save" at the state level. Florida also has no separate state S election.
What tax does an S corporation pay in Florida?
None in the normal case. Florida corporate income tax (5.5%) applies to an S corp only if it pays federal income tax on Line 23c of Form 1120S. There is no franchise tax, no net worth tax, and no minimum tax.
Where do I file Form 2553 from Florida?
With the IRS Ogden service center. Fax 855-214-7520, or mail to Department of the Treasury, Internal Revenue Service, Ogden, UT 84201.
What is the most common S-corp mistake in Florida?
Believing the pitch that "an S corp saves you state income tax." In Florida it saves exactly $0 of state income tax, because Florida has no individual income tax — the entire benefit of the S election in Florida is federal self-employment tax reduction, and that benefit is offset by real costs (payroll processing, a separate 1120S return, reemployment tax on the owner's wages, and the risk of an IRS reasonable-compensation adjustment). The runner-up, and the more expensive operational mistake, is missing the May 1 Sunbiz annual report: the $400 late fee is statutory and non-waivable, and continued failure leads to administrative dissolution.
Compare with other states: Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa.
Sources
File your Form 2553 correctly
Scorply completes your federal election and includes a Florida guide in your packet, so you know exactly what else you owe here.
Start my Form 2553Researched from official Florida sources and verified July 30, 2026. State tax rules change. This is general information, not tax advice — confirm with the state or a CPA before you rely on it.