Nevada and Wyoming State Business Tax
Nevada State Business Tax – Guide
Nevada is one of the popular destinations for many business owners because of it’s business-friendly atmosphere. Nevada is one of the US states which has no personal income tax and corporate tax, which is a big benefit for many businesses.
However, Nevada has other taxes like MBT (Modified Business Tax), Commerce tax and other local taxes that may be related to certain businesses and revenue.
MBT or Modified Business Tax
MBT is a quarterly state payroll tax which is applicable to all business that has employees and reports gross wages to the Nevada Employment Division or ESD.
MBT rate is 1.475% (as of July 2015), MBT is applicable only if the taxable wages for a calendar quarter are more than $50,000. This means that if the taxable wages for a calendar quarter are below $50,000 there is no MBT.
If your business in Nevada has 4 employees and your taxable wages for a calendar quarter is $100,000, you need to pay MBT of $1475 (1.475% of 100,000)
If your business has a gross revenue of more than $4 million then your business is eligible for commerce tax. However, a business is required to file a commerce tax return if it has no tax liability and the commerce tax rates range from 0.051% to 0.331% and varies depending on each business.
Nevada state has some other local taxes that are based on certain businesses and revenue.
For gaming businesses in Nevada, a gaming tax is required and rates for these licenses range from 3.5% to 6.75% of monthly gross gaming revenue with some additional fees based on the number of games operated by the licensee.
Please note that we are not legal or tax experts, this Nevada business tax guide is prepared as a general information only and should not be considered as or replace legal, tax or any other professional advice. We strongly advise you to consult a tax or legal expert for your Nevada business tax preparation. For further guidance, you can also check the State of Nevada Department of Taxation website and for gaming tax, check Nevada Gaming Control Board Website.
Wyoming State Business Tax – Guide
Wyoming is one of the best business-friendly states in the US. The major advantage in setting up a business in Wyoming is, the state has no corporate income tax and personal income tax.
However, Wyoming has the State annual license fee or Franchise tax or fee. This tax is applicable to Wyoming LLC’s, Corporations and Limited Partnerships, and they are required to pay every year when filing their annual report. This fee is $50 or two-tenths of one million dollars ($.0002) of all assets in Wyoming state, whichever is greater.
If your Wyoming state all assets are less than the value $250,000, then you will pay $50 as state annual license fee.
Else, if your state asset value is greater than the value $250,000 then you will multiply the value by .0002. Eg: If your state asset value is $300,000 then your annual license fee will be $60 (ie:$300,000 x 0.0002)
Please note that we are not legal or tax experts, this Wyoming business tax guide is prepared as a general information only and should not be considered as legal or replace tax or any other professional advice. We strongly advise you to consult a tax or legal expert for your Wyoming business tax preparation. For further guidance, you can also check the Wyoming Department of Revenue and Wyoming Secretary of State website.