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What are the advantages to having an LLC?

For those thinking of starting an LLC, here are six of the main LLC benefits. Limited Personal Liability. Less Paperwork. Tax Advantages of an LLC. Ownership Flexibility. Management Flexibility. Flexible Profit Distributions.

What is the downside to an LLC?

Profits subject to social security and medicare taxes. In some circumstances, owners of an LLC may end up paying more taxes than owners of a corporation. Salaries and profits of an LLC are subject to self-employment taxes, currently equal to a combined 15.3%.

Does Utah have a franchise tax for LLC?

State Franchise Tax This tax is also known as Business Privilege Tax in some states, due to the fact that operating an LLC in a state is a privilege. The state of Utah does not levy any franchise tax.

What taxes do businesses pay in Utah?

Utah Tax Rates, Collections, and Burdens Utah has a flat 4.85 percent individual income tax rate. Utah also has a 4.85 percent corporate income tax.

What are the benefits of an LLC in Utah?

Benefits of starting a Utah LLC: Create, manage, regulate, administer and stay in compliance easily. Easily file your taxes and discover potential advantages for tax treatment. Protect your personal assets from your business liability and debts. Low filing fee ($70)

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