I was told to start a LLC in Wyoming, because you don't have to pay taxes there. But if my business is operating in Washington state, wouldn't I have to pay Washinton state taxes on any income I made there? Therefore defeating the point of starting a LLC in Wyomingto avoid paying taxes. Shouldn't I just start the LLC in Washington?
2007-12-16 13:44:57 · 2 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
Washington state doesn't have an income tax either.
However, they do have a gross receipts tax (B&O tax) that all businesses pay.
You were correct in guessing that you will have to pay taxes where ever you operate. Many people spend hundreds or thousands of dollars forming businesses in states without an income tax only to find out that it doesn't save them a dime.
2007-12-16 14:33:02 · answer #1 · answered by Wayne Z 7 · 0⤊ 0⤋
You would have to pay the appropriate taxes as a foreign LLC in the state you operate in.
You should settle on a single spelling for WY
2007-12-16 13:59:02 · answer #2 · answered by Anonymous · 0⤊ 0⤋