Introduction
Starting your first business in Wyoming is exciting—but even with low costs and minimal red tape, one small misstep can lead to penalties. That misstep? Missing your Wyoming Annual Report License Tax filing. This blog highlights the most common penalties first-time founders face in 2025 and how to avoid them.
Relevant IRC Codes & Definitions
The Wyoming License Tax is state-specific and not governed by federal tax codes, but founders must still meet federal obligations:
- IRC §6031 – Requires partnerships (e.g., multi-member LLCs) to file IRS Form 1065.
- IRC §6012 – Requires corporations (including C Corps and S Corps) to file IRS Form 1120 or 1120-S.
These provisions ensure you comply federally, even while handling your Wyoming obligations separately.
IRS & State Form References
- IRS Forms:
- Form 1065 (for LLCs taxed as partnerships)
- Form 1120 or 1120-S (for corporations)
- State Requirement:
- Wyoming Annual Report including License Tax
- Filing Deadline: June 30, 2025
- Minimum Tax Due: $60
Real-World Example for First-Time Founders
Scenario:
BrightTech AI LLC was formed in 2024 by a solo founder. Since it had no revenue or assets in Wyoming, the founder assumed no filing was needed in 2025. They skipped the Annual Report.
Outcome:
- Marked “Delinquent” on state registry
- Could not renew business license
- Incurred a $25 late fee, plus interest
- Required to file a reinstatement request
Even without income or activity, all entities must file and pay at least $60.
Step-by-Step Guide to Avoid Penalties
- Calendar the Deadline: June 30, 2025.
- Determine WY-Based Assets: Even $0 assets = $60 minimum.
- Prepare Your Filing Info: Company ID, principal office address, asset value.
- File and Pay Online via Wyoming’s secure filing portal.
- Store Confirmation of submission for your records.
Conclusion
Most first-time founders miss the Annual Report deadline because they assume “no income” means “no filing.” In reality, missing this basic compliance step can jeopardize your entire business. Make this your easiest win of the year: file the report and pay the $60 minimum.
Call to Action & Disclaimer
Ready to ensure your startup doesn’t get penalized in 2025?
Anshul Goyal, CPA EA FCA, is a licensed Certified Public Accountant in the United States, admitted to practice before the IRS as an Enrolled Agent. He represents clients in IRS tax litigation and specializes in cross-border tax strategies for American and Indian entrepreneurs.
👉 Book your meeting now with Anshul Goyal, CPA—so you can focus on growth, not reinstatement paperwork.
Disclaimer:
This blog is provided for informational and educational purposes only. It is not intended as a substitute for personalized legal, tax, or financial advice. The content herein does not establish a client-accountant relationship and should not be relied upon to make business, tax, or legal decisions without consulting a qualified professional.
FAQs (Top 5 High-Searched)
Q1. Is the Wyoming License Tax mandatory even for inactive LLCs?
A1. Yes. All active LLCs must file the report and pay at least $60 annually.
Q2. What if I missed the June 30, 2025 deadline?
A2. A $25 late fee plus interest will apply, and your business may be marked delinquent.
Q3. Can my business be dissolved for non-filing?
A3. Yes. Wyoming may administratively dissolve the business.
Q4. Is the $60 license tax deductible on federal returns?
A4. Yes, under ordinary and necessary business expenses per IRC §162.
Q5. Do I need to file a federal return if I file the Wyoming report?
A5. Yes. State and federal filings are separate requirements.
About Our CPA
Anshul Goyal, CPA EA FCA, is a U.S. Certified Public Accountant, a Chartered Accountant in India, and an IRS Enrolled Agent. With over 2,000 startups served and $200M+ in tax savings delivered, he helps first-time founders build, protect, and grow their businesses with expert compliance and tax strategies.