Introduction
Forming a SaaS company in Wyoming can offer strategic tax and legal advantages. But every founder should be aware of one critical obligation—the Wyoming Annual Report License Tax—which is due every year by June 30. Whether you’re profitable or pre-revenue, this tax applies and noncompliance can put your LLC at risk.
Relevant IRC Codes & Definitions
Although the Wyoming License Tax is a state-specific requirement, your business likely also has federal obligations under the Internal Revenue Code:
- IRC §6031 – Filing requirement for partnerships (Form 1065)
- IRC §6012 – Filing requirement for corporations (Form 1120 or 1120-S)
These codes define when and how you must report income to the IRS. But they don’t replace or override Wyoming’s state filing requirements.
IRS & State Form References
- IRS Forms:
- Form 1065 (Partnerships)
- Form 1120 (C Corporations)
- Form 1120-S (S Corporations)
- Wyoming Requirement:
- Annual Report with License Tax filed with the Wyoming Secretary of State
Real-World Example for a SaaS Startup
Example:
XYZ Cloud LLC is a SaaS company incorporated in Wyoming. It owns the following:
- Servers located in Cheyenne: $75,000
- Cash in a Wyoming-based business bank account: $25,000
- Total Wyoming assets = $100,000
License Tax Calculation:
0.0002 × $100,000 = $20, but the minimum fee is $60, so XYZ Cloud LLC pays $60.
If the company had reported only $10,000 in assets, the fee would still be $60 due to the minimum.
Step-by-Step Guide for 2025 Compliance
- Determine the value of your business’s Wyoming-located assets.
- Multiply total assets by 0.0002 (or pay the $60 minimum if lower).
- File the Annual Report through the state’s official reporting portal.
- Submit payment before June 30, 2025.
- Retain confirmation of submission and payment for your records.
Conclusion
Failing to file your Wyoming Annual Report and pay the License Tax can result in administrative dissolution of your entity. For founders, especially in tech or SaaS, staying in compliance is non-negotiable. A $60 oversight can snowball into reinstatement fees, reputational harm, and potential tax complications.
Call to Action
Want to be sure your SaaS startup is compliant with Wyoming’s filing rules?
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 tax litigation and is a cross-border tax expert helping American businesses and Indian residents in the U.S. with IRS compliance.
👉 Schedule a meeting with Anshul Goyal, CPA, for personalized tax support and entity compliance review.
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 Questions)
Q1. What is the Wyoming Annual Report License Tax?
A1. A tax on Wyoming-based assets, due annually, with a $60 minimum.
Q2. Who must pay this tax?
A2. All business entities formed in Wyoming, even with no revenue.
Q3. When is the deadline?
A3. June 30, 2025.
Q4. What happens if I miss the deadline?
A4. Your LLC can be marked as delinquent and may be dissolved.
Q5. Can I deduct this tax on my federal return?
A5. Yes, it’s generally deductible as a state and local tax under IRC §162.
About Our CPA
Anshul Goyal, CPA EA FCA is a U.S.-licensed Certified Public Accountant, IRS-authorized Enrolled Agent, and a Chartered Accountant in India. With over 2,000 clients served and $200M+ in tax savings generated, Anshul specializes in startup compliance, international tax, and multi-entity structuring for SaaS founders and cross-border business owners.