How Much Does an LLC Cost In Utah - Fees & Taxes in UT
Every year, a lot of entrepreneurs decide to open a business in Utah, as the state boasts fairly low taxes and fees, which also attracts investors and startup owners.
If you're wondering how much is an LLC in Utah, the main fee is $70 for filing the formation documents.
Still, apart from the state filing fee, the total cost also includes mandatory and additional (optional) fees for registered agent services, annual report filing, business licenses and permits, and other Utah LLC costs.
How Much Does an LLC Cost in Utah?
To pre-calculate all the important costs related to LLC formation in Utah, you will need to answer the following two questions:
- How much to start an LLC in Utah?
- What are the annual fees for an LLC in Utah?
The main costs, related to LLC formation in the state, are listed on the Utah Department of Commerce's website and include the following fees:
| Service | Cost |
|---|---|
| Certificate of Organization (for domestic LLCs) | $70 |
| Foreign Registration Statement (for foreign LLCs) | $70 |
| Annual Report (for foreign and domestic LLCs) | $20 |
| Name Reservation (for foreign and domestic LLCs) | $22 |
| DBA | $22 |
| Certified Document Copies | $12 (depends on the document and the number of pages) |
| Certificate of Existence | $12 (short form) or $20 (long form) |
| PLLC registration | $54 |
| Registered Agent | >$50 per year |
| Business License | Varies depending on the city and the number of employees in the LLC (from $100 to $800 per year) |
Let's check all the fees related to LLC formation in detail and find out the cheapest way to start an LLC in Utah.
Utah Domestic LLC Filing Fee: $70
For your LLC to become legally registered in the state, you will need to file the Utah Certificate of Organization with the Department of Commerce, Commerce Division of Corporations & Commercial Code.
You can complete and file the necessary form online, or submit a hard copy by mail to the following address:
Utah Division of Corporations & Commercial Code
P.O. Box 146705
Salt Lake City, UT 84114
Such an application is the legal document upon which a legal entity (LLC) is officially entitled to do business in the state. In the certificate, you will need to provide basic information about the LLC:
- Business name of the LLC;
- Principal office address;
- Registered agent name and address;
- Signature of organizer(s);
- Names and addresses of members and/or managers (optional)
- Duration of the LLC (optional);
- Business purpose (optional).
The state filing fee is $70, and the processing time for online applications is 24 hours. If you send the registration form by mail, the waiting time will be longer - up to a week or more.
However, you can always speed up the process by paying an extra $75 (expedited service).
If you want to file on your own, read our detailed guide here.
LLC Fees in Utah: Annual Report: $20
In Utah, all LLCs must file their annual report with the Department of Commerce and pay a $20 fee every year. For this, you will need to indicate your LLC's state entity number, which can be found on the Business Name Search page.
The easiest way to fill out the report form is online at the Department of Commerce website, but it can also be mailed in. The deadline for submitting the report is within one month of the anniversary date of your LLC registration.
For example, if you registered on April 15th, the report must be mailed by May 15. If you don't timely submit your annual report, the state government may cancel your business registration.
Thus, any and all annual reports received after the due date will result in a $10 late fee, with further failures resulting in the dissolution of the LLC.
Registered Agent Fee: >$50
Utah law requires every LLC to designate and maintain a registered agent (RA) who will receive legal/tax documents and service of process (if any) on behalf of your company.
You may choose to hire:
- A non-profit RA, i.e. any adult individual who resides in the state of Utah and agrees to constantly be available during normal business hours;
- A commercial RA, i.e. a for-profit legal entity that has a registered office in the state to provide RA services to businesses.
We recommend choosing a commercial RA for your business due to the following advantages:
- Reliability. A professional RA will always be available during normal business hours, without any interruptions or unexpected days off;
- Privacy. A professional RA service will help you protect your personal data by providing its own address to indicate in the Certificate of Organization;
- Comfort. You'll get access to convenient cloud storage and a forms library, timely reminders about your annual reports and renewals, as well as other useful add-ons;
- Assistance with business-related issues. Some RA and business formation companies also offer legal consulting services as part of their paid packages.
If you are calculating LLC costs in Utah, make sure you consider the annual registered agent fee, which usually varies from $50 to $300 per year.
You can choose the best registered agent service from our review.
Registration Information Change Fee: $15
Your company information is updated when filing your annual report. However, in some cases, you may want to change some information earlier.
That said, no matter if you're changing your RA or LLC founders/managers, you will need to complete and file the Limited Liability Company Registration Information Change Form with the Department of Commerce, Division of Corporations & Commercial Code.
You can update the information online or by mail. For Utah LLCs, the processing fee is $15 (non-refundable).
Mailing Address:
Utah Division of Corporations & Commercial Code
P.O. Box 146705
Salt Lake City, UT 84114-6705
Office Address:
Utah Division of Corporations & Commercial Code
160 East 300 South
Salt Lake City, UT 84111
Fax:
(801) 530-6438
Cost to Form a Foreign LLC in Utah: $70
If you already have an existing business in some other state and you plan to expand to Utah, you can register as a foreign LLC here.
Unlike most other states, Utah has the same filing fee both for foreign and domestic LLCs ($70). The same goes for the annual report fee ($20).
To register as a foreign LLC in Utah, you will need to complete and file the Foreign Registration Statement form with the Department of Commerce. You can file online or by mail.
Cost to Form a PLLC in Utah: $54
A professional LLC (PLLC) is a type of LLC that is formed to provide professional services in the state. According to Utah Code § 48-3a-1105, all Utah members of PLLCs require a special business license to officially offer their services in the state.
Thus, we recommend consulting your local business attorney to understand what kind of business license or certificate may be required for your PLLC.
The main difference between a PLLC and a regular LLC is the personal liability of professionals in case of any malpractice claims and/or other similar events.
The following professions are listed as licensed by the state:
- Appraisers;
- Accountants;
- Architects;
- Attorneys;
- Chiropractors;
- Dentists;
- Engineers;
- Medical physicians, doctors, and surgeons;
- Naturopaths;
- Nurses;
- Optometrists;
- Osteopaths;
- Pharmacists;
- Physician assistants;
- Physical therapists;
- Podiatrists;
- Psychologists;
- Public accountants;
- Real estate brokers and sales agents;
- Social workers;
- Therapists;
- Veterinarians.
To form a PLLC in the state of Utah, you also must:
- Consult with the appropriate Utah licensing board to see if prior approval of your profession is required. Obtain the necessary paperwork in advance;
- Submit a PLLC Certificate of Organization to the Utah Division of Corporations (DOC) online or by mail.
Note that the application form for a PLLC is a bit more detailed, compared to the one for a regular LLC.
Moreover, keep in mind that your PLLC's official name must necessarily comply with the state's naming requirements, plus, you will also need to prepare an operating agreement for your professional limited liability company.
The processing fee is $54.
Utah LLC Taxes
In terms of federal law, an LLC is a "pass-through" entity, and therefore, federal income tax must be paid by the LLC founders on their personal income.
| Tax | Interest rate |
|---|---|
| Self-employment tax | 15.3% |
| State income tax | 4.95% |
| Federal income tax | Varies for different counties and cities |
| Sales tax | 4.85% |
Additionally, employers also have to consider payroll tax on any wages they pay to employees, as well as sale and use taxes.
In some counties or cities, there's also an additional sales tax. For example, the total sales tax rate in Salt Lake City is 7.75% and in Moab, it’s 8.85%. Thus, considering the information above, the combined sales tax can range from 6.10% to 9.05%.
It is also worth remembering that LLCs pay estimated taxes on a quarterly basis. To learn about these taxes, you should consult your accountant or visit the IRS website.
Business License Renewal Fee
Utah does not have a statewide business license, but most counties and cities do, for a wide range of activities. Additionally, the state doesn't require LLCs to renew their seller’s permit.
To find out if your LLC needs a business license or certificate (and how much it costs), visit the relevant state or local government website.
Also, you can get a business license by applying with the correct licensing and regulatory agency for your business.
Other LLC Filing Costs
Above we have described all the possible types of mandatory Utah LLC fees when registering this type of business entity, However, there are also some additional services that are important to consider when calculating your Utah LLC costs.
LLC Name Reservation: $22
In Utah, to make sure no other business takes your chosen (and available) business name, you can reserve that name by filing an Application for Reservation of Business Name for up to 120 days.
For Utah LLCs, the cost of a business name reservation is $22. The same fee is for foreign LLC name registration. To register as one, you will need to file an Application for Registration of Corporate Name with the Utah Department of Commerce.
DBA Registration: $22
In some cases, a company may want to use a different (alternative) name instead of its official business name in the course of business. This can be done by filing a DBA Application with the Department of Commerce.
A fictitious name is also known as a trade name or an assumed name. To register a DBA for an LLC in Utah, you can apply online, by mail, or in person.
Mailing address:
PO Box 146705
Salt Lake City Utah 84114-6705
Overnight address:
160 East 300 South (or 160 E Broadway)
Salt Lake City Utah 84111
Fax:
(801) 530-6438
Email: [email protected]
The cost of DBA registration in Utah is $22.
Certified Document Copies: $12
If you plan to open a separate bank account or get a business loan from a lending institution, you may need a physical Certified document or copies of your registration documents.
These can be ordered in paper through the Department of Commerce at any time for a small fee of $12. Note that the total amount depends on the type of document and the number of pages you need.
Online applications for these documents are not available - you can request documents in writing, in person, or by fax. Also, requests for copies and/or certificates may take up to approximately 7-10 business days to complete.
Certificate of Existence: $12 or $20
A Certificate of Existence (also known as a Certificate of Good Standing) may also be required for business loans or by banks. The document confirms that your business entity is compliant with the state (i.e. timely pays its taxes and files annual reports).
You can order the Certificate in a short form (a document indicating the existence of the LLC and whether it's current) or long form (information from the short form + all restated articles, amendments to date) online through the Department of Commerce's website or by mail.
The fee is $12 for the short form and $20 for the long form of the Certificate.
Mailing address:
160 East 300 South
Box 146705
Salt Lake City, UT 84114-6705
Office address:
160 East 300 South
2nd Floor
Salt Lake City, UT 84114
Fax:
(801) 530-6438