LLC Cost in Utah – How Much to Pay for an LLC


Steve Goldstein
Steve Goldstein
Business Formation Expert
Steve Goldstein runs LLCBuddy, helping entrepreneurs set up their LLCs easily. He offers clear guides, articles, and FAQs to simplify the process. His team keeps everything accurate and current, focusing on state rules, registered agents, and compliance. Steve’s passion for helping businesses grow makes LLCBuddy a go-to resource for starting and managing an LLC.

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Perhaps you are hoping to form a Utah LLC. People assume that starting an LLC is difficult and costly. However, it’s generally not difficult, and the cost would vary across states. We have all the info you need to know about the cost of forming an LLC, particularly the LLC cost in Utah.

Utah LLC Cost of Filing

Here are the costs involved in forming an LLC in Utah.

Cost of Filing Formation Certificates

The Utah Certificate of Formation is responsible for the majority of the cost, which could also vary depending on whether you’re forming a domestic LLC or a foreign LLC. Still, you can file both at the Utah Secretary of State.

Utah Domestic LLC

  • Online Filing costs $70.
  • Annual Report filing costs $20
  • Name Reservation fee costs $22
  • By Mail: Fill out the application form, and send it to Utah Division of Corporations & Commercial Code P.O. Box 146705 Salt Lake City, UT 84114. Costs $70.

Utah Foreign LLC

  • Online Filing costs $70.
  • Annual Report filing costs $20
  • Name Reservation fee costs $22
  • By Mail: Fill out the application form, and send it to Utah Division of Corporations & Commercial Code P.O. Box 146705 Salt Lake City, UT 84114. Costs $70.

Note that filing online is ideal, not only because you need to go to the Secretary of State office, but also it would be faster. You won’t have to wait in a queue in doing so.

Utah LLC Formation Service or Registered Agent Fee

You need a registered agent to form an LLC in Utah, hence, added costs for service fees. Here are three of the best LLC services on our list that will provide you with registered agents to ease your worries.

LLC Service

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#1 TOP PICK

$0 + State Fees

  • 100% accuracy guarantee

  • Worry-free service

  • Great customer support

  • Established reputation

  • Extras are bit more expensive

  • Good customer support

Business Permits and Licenses

The business licenses depend on your business’s activity and location and are renewed yearly. As such, the cost will vary. Check the Utah Department of Revenue for regulatory boards or agencies requiring licensing.

Taxes Payable to the Utah Department of Revenue

If you wish to register an LLC in Utah, you will need to pay a number of taxes to the federal as well as Utah governments. Let’s look at the main taxes that are to be paid by LLCs in Utah. There are two types of taxes to be paid to the Utah Department of Revenue:

State Income Tax

You have to pay the state tax on any amount you pay to yourself. The earnings you make shall be taxed through your personal tax return. The standard rate of income tax which is 4.95%, will be applicable & you can apply for all the standard allowances and deductions.

State Sales & Use Tax

If you are a seller of goods or you are a service provider, you have to collect tax & then pay it to the Utah Department of Revenue. This State Sales & Use Tax can be collected at the time of purchase. The Sales & Use Tax varies in different regions, counties, & cities.

The current state sales & use tax rate on LLC in Utah is 4.7%

Federal Self-Employment Tax

Federal Self Employment Tax, also known as Social Security or Medicare tax, is to be paid by all the LLC Business members or managers. This kind of tax is applicable to all the earnings you withdraw from your business.

The Federal self-employment tax rate in Utah is 15.3 percent, which includes 12.4% for social security & 2.9 for medicare.

Federal Income Tax

In addition to the state income tax, you have to pay the Federal Income tax on all the earnings you make in your Utah LLC.

The amount of the Federal Income Tax depends upon your earnings, the income tax bracket in which you qualify, the deductions, & the manner/ mode of filing.

Employee & Employer Taxes

If you have a number of employees who draw monthly salaries, then there will be some added Employee-Employer taxes on that. These tax implications vary, depending on various factors, e.g., the amount, number of employees, etc.

Cost Comparison Between States

Utah is surrounded by many states, namely Idaho, Wyoming, Colorado, Arizona, etc. Each of these states has a different rate of taxes levied on LLCs. Let us take a look at this comparative chart.

StatesFiling FeeAnnual/Biennial FeeSales Tax
Utah$70$204.7%
Idaho$100Free6%
Wyoming$102$504%
Colorado$50$102.9%
Arizona$50$305.%

On the basis of the kind of industry you LLC operated in, your LLC will be liable to some other taxes & duties. For Example, if your LLC is in the sector of import & export, you have to pay the import-export duty. You should consult with a professional to verify the tax rates or business costs of registering an LLC in Utah.

Other Costs

F.A.Qs

Can I start an LLC for free?

It is possible to form an LLC without professional help, but forms still have associated costs, regardless of where your LLC is formed.

Is an LLC expensive?

It is difficult to say whether forming an LLC is expensive. Nevertheless, the cost could be anywhere from $40 to $500. If you refuse to hire professionals, you’ll still have expenses like form fees to cover.

Does an LLC need a bank account?

The need to separate personal money from business funds, thus necessitating the creation of a business bank account for your LLC.

How Much Does It Cost to Maintain an LLC in Utah

To maintain an LLC in Utah you will need to pay an annual fee of $20 along with state income tax at 4.95%, sales & use tax at 4.7%, and federal taxes.

There are various fees associated with maintaining an LLC in Utah, including an initial filing fee to register the LLC with the state, as well as annual fees to keep the business in good standing. These fees can add up over time, so it’s important for business owners to budget accordingly to ensure they can afford to keep their LLC active.

In addition to the filing and annual fees, there are other costs to consider when maintaining an LLC in Utah. For example, business owners may need to pay for professional services, such as legal or accounting assistance, to ensure they are in compliance with state laws and regulations. There may also be expenses related to maintaining a business license, permits, or insurance coverage.

It’s important for business owners to factor in these costs when deciding to form an LLC in Utah, as failing to do so could lead to financial difficulties down the road. By understanding and planning for the various expenses associated with maintaining an LLC, business owners can make informed decisions about their business operations and finances.

While the costs of maintaining an LLC in Utah may seem daunting, it’s important to keep in mind the benefits of having this type of business entity. An LLC provides limited liability protection, meaning that the personal assets of owners are generally protected from the debts and liabilities of the business. This can provide peace of mind and financial security for business owners, making it worth the investment to maintain the LLC.

Ultimately, the cost of maintaining an LLC in Utah will vary depending on the specific needs and circumstances of each business. It’s important for business owners to carefully consider their finances and budget accordingly to ensure they can afford to keep their LLC active and in good standing. By planning ahead and being financially responsible, business owners can set themselves up for success and avoid any unpleasant surprises or challenges in the future.

In Conclusion

The cost of Utah is much lower compared to other forms of business. Apart from the state filing fees and annual taxes, you might bear the cost of the registered agent. Compare the price of professional LLC services and choose the most affordable one.

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