Utah: what each business structure costs a year
At $100,000 profit, an LLC taxed as an S corp costs $4,711 a year less than a sole proprietorship in Utah. All figures are 2026 tax and fees.
$4,711 a year
less as an LLC taxed as an S corp than as a sole proprietorship in Utah, at these numbers. That includes the state's pass-through entity tax election.
Utah, 2026: $100,000 profit, single filer
| Structure | Yearly cost | vs yours | To set up | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sole proprietorship yours | $26,501 | $0 | |||||||||||||||||
Itemized: $26,501
| |||||||||||||||||||
| Single-member LLC | $26,512 | +$11 | $59 | ||||||||||||||||
Itemized: $26,512
| |||||||||||||||||||
| LLC taxed as an S corp lowest | $21,790 | −$4,711 | $59 | ||||||||||||||||
Itemized: $21,790
| |||||||||||||||||||
| S corporation | $21,790 | −$4,711 | $59 | ||||||||||||||||
Itemized: $21,790
| |||||||||||||||||||
| C corporation | $30,528 | +$4,027 | $59 | ||||||||||||||||
Itemized: $30,528
| |||||||||||||||||||
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What these figures count
- State income tax, and state taxes on the business itself: franchise, LLC, S corp, gross receipts and excise taxes.
- Social Security and Medicare on both sides of an owner salary, federal unemployment tax and the state's new-employer rate.
- The 20% qualified business income deduction with its income limits and the professional-service rule.
- Yearly report fees, and a cost you can change for payroll and the business tax return.
Many S corp calculators leave out state taxes and the QBI deduction, which can make the election look better than it is.
When an S corp election pays in Utah
Electing S corp tax treatment for an LLC starts to pay in Utah at about $50,000 of profit, with the default salary and $1,800 a year for payroll and the extra tax return.
An S corp in Utah can elect to pay the state's income tax itself, a pass-through entity tax of 4.45%, and the owner gets a credit for it. The company deducts it on the federal return, so it is not held to the SALT cap. The calculator uses it when it lowers the totalle.utah.gov.
| Profit | Sole prop | LLC | LLC as S corp | C corp |
|---|---|---|---|---|
| $30,000 | $6,422 | $6,435 | $7,901 | $8,380 |
| $50,000 | $11,800 | $11,813 | $11,648 | $14,004 |
| $75,000 | $18,597 | $18,610 | $15,054 | $20,972 |
| $100,000 | $26,501 | $26,512 | $21,790 | $30,528 |
| $150,000 | $43,810 | $43,823 | $36,320 | $51,108 |
| $200,000 | $61,702 | $61,716 | $51,560 | $70,799 |
| $300,000 | $104,787 | $104,792 | $84,509 | $111,604 |
Single filer, no other income, revenue taken as 1.5 times profit, default salary. The lowest cost in each row is marked.
State fees and taxes in Utah
| LLC | Corporation | ||
|---|---|---|---|
| Filing to form | $59Certificate of Organization | $59Articles of Incorporation | corporations.utah.gov |
| Yearly report | Annual Renewal, $18 a year | Annual Renewal, $18 a year | corporations.utah.gov |
| Report due | By the anniversary date of formation | By the anniversary date of incorporation |
- Utah taxes personal income at a flat 4.45% (2026). le.utah.gov
- C corporations pay 4.45% of net income, with a minimum of $100. le.utah.gov
- Utah follows the federal S corp election.
- New employers pay state unemployment tax of 1.1% on the first $50,700 of each employee's wages. That applies to an owner's salary from an S or C corp. jobs.utah.gov
- $10 late fee if the renewal is missed.
- $10 late fee if the renewal is missed.
Not in the calculator: No local income taxes. Local sales taxes and county business personal property tax apply.
Switching calculators for Utah
- Sole proprietorship vs LLC
- LLC vs S corp
- Sole proprietorship vs S corp
- S corp vs C corp
- LLC vs C corp
- Sole proprietorship vs C corp
- LLC taxed as S corp vs S corporation
- What an LLC costs in Utah
- Take-home pay in Utah
- Quarterly estimated tax in Utah
By profession in Utah
- Management consultant
- Software developer
- Graphic designer
- Photographer
- Real estate agent
- Insurance agent
- Financial advisor
- Therapist
- Physical therapist
- Nurse practitioner
- Physician
- Dentist
- Lawyer
- Accountant
- Freelance writer
- Web developer
- Marketing consultant
- Electrician
- Plumber
- General contractor
- Truck driver
- Hair stylist
- Personal trainer
- Rideshare driver
Questions
Is an S corp worth it in Utah?
On these figures, from about $50,000 of profit. At $100,000 an LLC taxed as an S corp costs $21,790 a year against $26,512 for a plain LLC, $4,722 less. The saving comes from paying Social Security and Medicare tax on a salary instead of on all profit.
How much does an LLC cost per year in Utah?
The state charges Annual Renewal, $18 a year. Forming one costs $59.
Does Utah recognise the S corp election?
Yes. The federal election carries over with no separate state form. S corps file TC-20S and generally pay no entity-level income tax; income flows to owners. Withholding applies for nonresident owners.
What income tax does Utah charge?
Utah taxes personal income at a flat 4.45% (2026). C corporations pay 4.45% of net income, with a minimum of $100.
How this page models Utah (2)
- The official Fiscal Year 2026 Fee Schedule (effective July 1, 2025) is still the current fee schedule posted by the Division of Corporations; its $18 renewal fees include a $5 single sign-on portal surcharge.
- Utah gives each new employer the two-year average benefit ratio of its industry and publishes no table of rates by industry (jobs.utah.gov gives only the method, the 0.1%-7.1% range and the $50,700 wage base), so the 1.1% figure is an approximation of a typical new-employer rate for professional services (NAICS 54), not a published rate.
Sources checked 2026-10-24. Each figure links to the state or IRS page it comes from.
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