What Taxes Does an LLC Pay in Wyoming?

Wyoming LLCs pay no state income tax, franchise tax, or gross receipts tax. However, they must register for and collect Wyoming sales tax (4% statewide, plus local options up to 8% combined). Federal self-employment tax applies to members. The LLC itself pays an annual $60 license tax or 0.0002% of Wyoming assets, whichever is greater (Wyo. Stat. §§ 17-29-209, 17-29-210).

State Taxes

Wyoming imposes zero state income tax on LLCs—a major advantage. You also avoid franchise tax and gross receipts tax regardless of your LLC's federal tax classification.

If your LLC sells taxable goods or services, you must register for sales tax with the Wyoming Department of Revenue. Wyoming's mandatory statewide rate is 4%. Local jurisdictions add optional taxes, creating combined rates between 4% and 8% depending on where customers take possession. Register at https://excise-tax-div.wyo.gov/general-administrative/excise-tax-faqs.

Annual License Tax & Reporting

File an annual report with the Wyoming Secretary of State by the first day of your LLC's anniversary month of formation. Pay the $60 license tax (or 0.0002% of Wyoming assets, whichever is greater) under Wyo. Stat. §§ 17-29-209 and 17-29-210. Failure to file within 60 days of the due date triggers administrative dissolution. Reinstatement costs $100 plus delinquent filings.

Federal Taxes

Single-member LLCs default to disregarded entity status (Schedule C). Multi-member LLCs default to partnership taxation (Form 1065). Both structures trigger self-employment tax on member income at the federal level.

You may elect S-corp or C-corp status by filing Form 2553 or Form 8832 with the IRS. An S-corp election can reduce self-employment tax by allowing a reasonable salary and distributing remaining profits as dividends, subject to payroll compliance.

Estimated federal tax payments are due April 15, June 15, September 15, and January 15 if you expect to owe $1,000 or more.

Action Items

Register for Wyoming sales tax if you sell taxable goods or services.
Mark your annual report due date (first day of formation anniversary month).
Consult a tax professional about federal tax elections and estimated payments.

Contact: Wyoming Department of Revenue at https://revenue.wyo.gov/

This is general information, not legal advice.