Delaware’s new annual report rules: what corporations need to know

From 6 December 2025, the Delaware Division of Corporations will require all domestic corporations to disclose their “nature of business” in annual reports. This new rule aims to increase transparency and provide greater insight into business activities across the state.

With the new changes announced, corporations need to start preparing in order to remain compliant. We’ve gathered all the relevant information you need to know and provided it below.

What are the new annual report requirements in Delaware?

The new changes mean that domestic corporations now have to define and report their nature of business when filing their yearly reports with the Delaware Division of Corporations. This can be done online and involves selecting a code from the dropdown menu that best describes your company’s primary business activity.

The codes and descriptions will be as follows:

Code	Description
10	Aerospace and Defense
11	Agriculture
12	Food Industry
13	Healthcare
14	Holding Company
15	Insurance
16	Investment/Finance
17	Machinery
18	Manufacturing
19	Media
20	Petroleum Industry
21	Pharmaceutical Industry
22	Real Estate
23	Research and Development
24	Retail
25	SPAC
26	Technology/Software
27	Telecommunications
99	Other

If your business doesn’t fit into just one category, you should choose the code that most closely matches your main business activity. If none of the above codes are appropriate, select “99 (Other)” and provide a brief description of the nature of your business in the space provided.

Which businesses are affected by this change?

The annual report change will affect domestic Delaware corporations, meaning foreign corporations do not have to report their nature of business. However, this could change at any time.

How to prepare for the annual report requirement changes in Delaware

With annual report filings and franchise tax payments due by 1 March, it’s important to familiarize yourself with the new business activity codes and ensure you can clearly define your company’s main purpose.

In addition to the new business activity disclosure, make sure you have the following details ready for your annual report:

• The legal entity name
• Principal business address
• Director names and addresses
• Name and address of one officer
• Total number of authorized shares
• Class and par value of shares
• Breakdown of franchise tax and fees due

Keeping all your information up to date will ensure your annual report filings go smoothly.

What happens if you don’t comply with the annual report requirement changes?

If you fail to file your annual report or provide all required information, you’ll face a $200 penalty, plus 1.5% monthly interest on any outstanding tax and penalties. Non-compliance may also jeopardize your company’s good standing.

Stay compliant with Corporate Creations

Regulatory requirements change frequently and can be hard to keep up with. By partnering with Corporate Creations, you’ll have access to a team of experts who can support your entity compliance obligations and ensure your business retains its good standing.

If you want to ensure your Delaware corporation stays compliant and ahead of regulatory changes, contact Corporate Creations today. Let us handle the details, so you can focus on growing your business with confidence.