Head-to-head • Updated 2026
By Srikanta M.Reviewed against FTB / SOS sources: September 2026Methodology

Wyoming vs Texas for Startups: $62 vs $0 (With a Catch)

Wyoming charges $62/yr flat; Texas charges $0 under its indexed threshold but demands PIR + margin machinery above it.

Quick answers

Should I choose Wyoming or Texas?
No-revenue holding: Texas is $0 but paperwork-heavy. Operating business: Wyoming’s simplicity usually wins under ~$2M.
WyomingTexas
Annual minimum$62$0 under threshold
GotchaAnniversary reportsPIR + margin math + forfeiture risk
Income tax0%0% (margin instead)

Cost to form and keep

FormationAnnual minimumDue
Wyoming$100 Articles of Organization or Incorporation$62Anniversary month
Texas$300 Certificate of Formation (LLC or corporation)$0 under thresholdMay 15

Before registered-agent fees and before any tax on profit. Operating in a state means paying it no matter where the entity was formed.

Wyoming: what else to know

  • $60 minimum license tax plus a $2 online fee; only assets located and employed in Wyoming count toward the $300,000 line.
  • No state income tax on the entity or its owners.
  • A registered agent with a Wyoming address is required: commercial agents typically charge $25–$150 a year.

Full rules: Start a Wyoming LLC.

Texas: what else to know

  • No franchise tax at or below $2.65M of annualized revenue (2026–2027 reports), but the Public Information Report is still due every May 15.
  • Above the threshold: 0.75% of margin (0.375% retail/wholesale) or 0.331% of revenue on the EZ Computation.
  • Out-of-state entities registering in Texas pay a $750 registration fee.

Full rules: Texas no-tax-due & PIR.

Verdict

No-revenue holding: Texas is $0 but paperwork-heavy. Operating business: Wyoming’s simplicity usually wins under ~$2M.

Test where you actually owe tax with the nexus checker before choosing a home state.

Other head-to-heads

Sources

  • State SOS / FTB / Division / Comptroller fee schedules; calculators on this site