How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Wallstreet Esq. Your Own Question
Wallstreet Esq.
Wallstreet Esq., Tax Attorney
Category: Tax
Satisfied Customers: 577
Experience:  10 years experience
16356563
Type Your Tax Question Here...
Wallstreet Esq. is online now
A new question is answered every 9 seconds

I am a home based health coach and am forming my LLC. Is it

Customer Question

I am a home based health coach and am forming my LLC. Is it smart to form in Wyoming and then apply for the foreign qualification to do business in Illinois. I have some clients in IL so will be doing business there.
Submitted: 8 months ago.
Category: Tax
Expert:  Jason M. Tyra, CPA replied 8 months ago.

Hi Jill:

Each state has different rules governing business formation and qualification for out of state (so-called "foreign") businesses. Whether it is "smart" to form a business in a state other than your place of residence depends on the result you are trying to create by doing so. Why were you thinking of forming in Wyoming?

Customer: replied 8 months ago.
Less fees in Wyoming.
Customer: replied 8 months ago.
Illinois charges around $500. For llc. And Wyoming is about $150. Also annual fees are lower in Wyoming
Expert:  Jason M. Tyra, CPA replied 8 months ago.

There is a $500 fee to register a foreign LLC in Illinois, so you would actually end up paying more up front (Wyoming registration, plus Illinois foreign registration).

Related Tax Questions