Utah LLC vs New Mexico LLC (2026)
Compare Utah LLC vs New Mexico LLC on filing fees, taxes, privacy laws, and annual costs. Find out which state is actually better for your business.
By Edmond Hui · Last updated: August 13, 2026
Verdict: Utah wins for most businesses
For most Utah-based businesses, forming locally in Utah is the smarter choice. You avoid paying fees in two states and managing compliance in both. New Mexico only makes sense if your business genuinely operates there or you need its specific privacy structure, and even then the total costs deserve a hard look.
Ready to file? Our affiliate partner ZenBusiness files your Utah LLC formation paperwork, from $0 + state fee.
Start your Utah LLC with ZenBusiness →Affiliate link. We may earn a commission at no cost to you · compare all formation services. MyStateLLC is not a law firm and does not provide legal advice.
| Factor | Utah | New Mexico |
|---|---|---|
| Filing Fee | $59 | $50 |
| Processing Time | Instant to 4 business days | Not published by the state |
| Annual Report Fee | $18 | $0 |
| Annual Report Due | Anniversary month | None required |
| State Income Tax | Yes | Yes |
| Anonymous LLC | No | Yes |
| Publication Requirement | No | No |
| Foreign LLC Cost (if forming out-of-state) | N/A, you're in your home state | $54 + registered agent ~$150/yr |
Full fee breakdown for either state: Utah LLC cost and New Mexico LLC cost.
Business Climate: Utah vs New Mexico
| Factor | Utah | New Mexico |
|---|---|---|
| 5-year business survival rate | 49.7% (#33 of 51) | 46.3% (#46 of 51) |
| Business application growth (2026 YTD (Jan to Jul) vs 2025 YTD (same months)) | +25.5% YoY (#23 of 51 by volume) | +12.6% YoY (#37 of 51 by volume) |
Sources: U.S. Bureau of Labor Statistics, Business Employment Dynamics · U.S. Census Bureau, Business Formation Statistics (BFS)
Compare LLC Costs: Utah vs New Mexico
Utah
New Mexico
Costs include every mandatory state charge: the filing fee, the report fee (annualised where a state files biennially), any state entity-level tax shown in its own row above, a one-time publication cost where a state requires publication, and any one-time registration charge a state requires before the LLC may trade. Annualising makes the 1, 3 and 5 year rows a cost of ownership rather than a payment schedule: a biennial state charges its whole report fee in the years it falls due and nothing in between. Entity-level taxes that only apply after a corporate election, or above an owner or income threshold, are excluded and flagged on the state's own cost page. New York's publication cost is carried at a $250 floor, roughly $200 of newspaper cost in a low-cost county plus the $50 Certificate of Publication fee. No county-clerk-designated New York City newspaper publishes a rate card, so the four-figure NYC estimates in wide circulation cannot be traced to a primary source and are not asserted here; budget for materially more than the floor if you file in a NYC county. Montana's annual report is free when filed by April 15 and $35 after, a waiver the Secretary of State applies at its discretion. Every fee was verified against the state's own fee schedule, statute, or revenue authority on 29 July 2026. Excludes registered agent and legal fees. For informational purposes only, not legal or tax advice.
Filing Fees & Formation Costs
Utah charges $59 to form an LLC, while New Mexico charges $50. New Mexico is $9 cheaper upfront. The cost that usually gets overlooked: if you form in New Mexico but operate in Utah, you must also register as a foreign LLC in Utah (a $54 filing) and maintain a registered agent in New Mexico (typically around $150 per year). That puts the realistic first-year cost of the New Mexico route at roughly $254, versus $59 for simply forming in Utah. Only one side of this comparison is knowable: Utah publishes instant to 4 business days, while New Mexico publishes no standard processing time, so the two can't be ranked against each other on speed.
Taxes: Utah vs New Mexico
Both Utah and New Mexico levy a personal income tax on pass-through business income, and your LLC's profits will be taxed where you live and operate. Forming in New Mexico doesn't change what an Utah-based owner pays. Utah levies a flat 4.55% personal income tax. Neither state imposes a separate franchise or privilege tax on LLCs beyond standard filing fees.
Privacy & Asset Protection
New Mexico allows anonymous LLC formation. Member and manager names don't appear on routine public filings. New Mexico's Articles of Organization require only the organizer and registered agent, and LLCs file no annual report, so members and managers stay off public filings. Utah doesn't offer that same privacy. Utah's annual report lists the LLC's members/managers, searchable on the public Business Search. Both states provide charging-order protection for LLC members, and for most small businesses the practical difference in asset protection between the two is minimal. One important caveat: if you register your New Mexico LLC as a foreign LLC in Utah, that Utah registration is itself a public record, which can undercut much of the privacy benefit for a business that operates in Utah.
Annual Maintenance Costs
Utah LLCs file an annual report ($18, due in the anniversary month), and New Mexico LLCs file no annual report at all. If you form in New Mexico while operating in Utah, you maintain filings in both states, New Mexico's report plus Utah's equivalent for your foreign registration, and pay a New Mexico registered agent roughly $150 per year. That brings ongoing costs of the New Mexico route to roughly $168 per year, versus about $18 to keep a domestic Utah LLC in good standing.
When New Mexico Actually Makes Sense
Forming in New Mexico makes sense in a few specific situations: you need anonymous ownership. Utah puts owner or manager information on public filings and New Mexico doesn't (usually via a holding company, since operating in Utah still requires a public foreign registration there), your business genuinely operates in New Mexico, with a real office, employees, or property there, or you're relocating to New Mexico in the near future. For a typical small business based in Utah, none of these usually apply. Registering a New Mexico LLC to do business back home means $54 in Utah foreign-registration fees, on top of New Mexico's $50 formation fee, while Utah's own annual report runs $18 a year and is due in the anniversary month. When in doubt, form where you actually do business.
Frequently Asked Questions
More State Comparisons
Embed this comparison, free
Add the Utah vs New Mexico cost calculator to any page. Works in WordPress, Squarespace, Webflow, and any HTML site.
<iframe src="https://www.mystatellc.com/tools/compare-states?embed=1&stateA=UT&stateB=NM" width="100%" height="720" frameborder="0" style="border:0;max-width:900px;display:block;margin:0 auto;" title="Utah vs New Mexico LLC Cost Comparison" loading="lazy"></iframe> <p style="text-align:center;font-size:.8125rem;color:#6b7280">Source: <a href="https://www.mystatellc.com/llc/compare/utah-llc-vs-new-mexico-llc">MyStateLLC, Utah vs New Mexico LLC Comparison</a></p>