Utah PLLC: Professional LLCs for Licensed Professionals
Utah PLLC: Professional LLCs for Licensed Professionals
If you hold a state license and want to practice through a company, a professional limited liability company (PLLC) is the entity most Utah licensees consider first. A utah pllc is formed like any other LLC, but it is tied to a licensed profession, which changes the name rules, the ownership rules and the kinds of work the company can do. This guide covers which professions use a PLLC, how to form a pllc utah entity with the Division of Corporations and Commercial Code, what it costs, and what you owe each year.
This article is informational content, not legal or tax advice. Professional entity rules come from Utah statute and from each licensing board, and both can change. Talk with an attorney who handles professional entities and with a CPA before you file.
What a PLLC Is
A PLLC is a limited liability company that provides a service requiring a professional license. You form it the same way you form any Utah LLC: by filing a Certificate of Organization with the Division of Corporations and Commercial Code. The difference is that you select the Professional Limited Liability Company option within that domestic LLC filing.
Utah's rules for these companies appear in the professional services companies part of Utah's Limited Liability Company Act. Two limits matter most. First, a PLLC may provide only one specific type of professional service, plus the ancillary services that support it. A dental practice cannot also operate as an engineering firm under the same PLLC. Second, the company does not change your personal responsibility for your own professional work. Generally, a PLLC protects members from the company's contract debts and from the professional errors of other members, but each licensee remains personally responsible for the care they provide. How that plays out in your profession is a question for your attorney.
Which Professions Use a PLLC
The Act lists the covered professions. The list includes:
- Public accountants
- Architects
- Attorneys
- Chiropractors
- Dentists and dental hygienists
- Engineers and land surveyors
- Physicians
- Nurses
- Osteopaths
- Naturopaths
- Physical therapists
- Podiatrists
- Optometrists
- Pharmacists
- Psychologists
- Social workers
- Real estate licensees
Not every licensed professional needs a PLLC, and being on the list does not settle the question by itself. Check with your licensing board. The Division of Professional Licensing (DOPL) oversees most professions, and the Utah State Bar handles attorneys. Some boards require a professional entity, some permit one, and some have no entity rule that changes your choice. Confirm the current requirement with the board before you file.
If you are not licensed, or your business combines services that no single license covers, an ordinary LLC is the common choice. It has the same liability and tax structure, without the single-profession limit or the board's ownership and name rules.
PLLC or Ordinary LLC: Side by Side
| Question | Ordinary LLC | PLLC |
|---|---|---|
| Who it fits | Unlicensed businesses, mixed services, or professions the Act does not list | Licensees in a covered profession whose board requires or permits it |
| Filing | Certificate of Organization, LLC option | Certificate of Organization, Professional Limited Liability Company option |
| Name | Must include "limited liability company," "limited company," or an approved abbreviation such as LLC | Must include "professional limited liability company" or PLLC, unless an exception applies |
| Ownership | Set by your operating agreement | Board ownership rules also apply |
| Services | Any lawful business activity | One specific licensed service plus ancillary services |
| Filing fee | $59 base filing fee | Check the Division fee schedule for the PLLC filing fee |
How to Form a PLLC in Utah
- Choose and check a name. The name must be distinguishable on the Division's records from existing entity names, reserved names, registered names and assumed names. Search at businessregistration.utah.gov before you commit. If you need time, you can reserve the name for 120 days for $22 using the instructions at commerce.utah.gov. The name rules for PLLCs appear in the next section.
- File the Certificate of Organization. Most filings go through the Utah Business Registration System at businessregistration.utah.gov, which you sign into with a UtahID. Select the Professional Limited Liability Company option. The base LLC filing fee is $59. Confirm the PLLC filing fee on the Division fee schedule at commerce.utah.gov/corporations, because the figure for a professional entity is not one this guide can confirm. Expedited processing is $75 per filing under the Division's Fiscal Year 2026 fee schedule. Most online filings are approved instantly. Filings that need manual review take 2 to 4 business days, and the Division has posted 7 to 10 business day processing during backlogs.
- Appoint a registered agent. Every entity needs a registered agent for legal papers, and the agent must have a Utah street address. A PO box may be listed only in addition to a street address. The agent can be an individual, a Utah business entity in good standing with the Division, or a commercial registered agent. Commercial registered agent registration costs $52.
- Confirm your license status and your board's rules. Every member who practices needs an active individual license. The entity does not license anyone. Before you finalize ownership or name, read the board's rules on both.
- Get your local business license. Utah issues no statewide general business license. Registering the entity with the Division is a registration, not a license. Your business license comes from the city or town where you are located, or from the county if you are outside city limits. A city license does not transfer to another city, so a move can mean a new application.
- Register for taxes where they apply. You will need a federal employer identification number (EIN) from the IRS for most entities. A Utah Sales Tax License from the Utah State Tax Commission is required for sellers with an established presence in Utah, so if your practice sells taxable goods, register through the Tax Commission's TAP system at tap.tax.utah.gov. Ask your CPA whether this applies to you.
- Draft an operating agreement. The Division's filing does not replace an operating agreement. Attorneys usually draft one that covers ownership transfers, buyouts, and what happens when a member loses a license or retires.
Name Rules
A PLLC name must contain "professional limited liability company" or "PLLC," unless an exception applies. The general LLC rules still apply: the name cannot imply that the company is a state agency or political subdivision. Your regulating board's rules on names also apply, and they vary by profession. A dental PLLC and an engineering PLLC may face different naming rules, so check before you choose.
If the practice will operate under a name other than the PLLC's registered name, you need an assumed name (DBA), which Utah calls a Business Name Registration. Register it with the Division of Corporations and Commercial Code, not the county. The fee is $22 to register, and the registration runs for a three-year term (check the portal for the renewal fee). Board name rules can limit which DBAs a licensed entity may use, so confirm that before you file.
Ownership and Board Rules
The regulating board's ownership rules apply to a PLLC. Some boards limit ownership to licensees in the same profession, and some restrict how much of the company a non-licensee may hold. The rules differ from one profession to the next, so confirm them with your board before you bring in a partner, an investor, or a family member as an owner. An ownership problem found after formation is far more expensive to fix than one found before filing.
How a PLLC Is Taxed
Utah has no separate LLC franchise tax. By default, an LLC is taxed as a partnership or sole proprietorship, so income passes through to the members and is taxed on their individual returns at Utah's flat 4.45 percent individual income tax rate, which applies for tax years beginning on or after January 1, 2026 (it was 4.5 percent for 2025). An LLC that elects corporate treatment instead pays the 4.45 percent corporate franchise and income tax, with a $100 minimum tax. Confirm the current year's rate with the Utah State Tax Commission at tax.utah.gov, and confirm your federal tax election with a CPA. The tax treatment of a PLLC is the same as an ordinary LLC's, so the choice between them does not change your tax bill.
Annual Renewal and Ongoing Compliance
A PLLC files an annual renewal, which Utah calls the Annual Report / Renewal. The first renewal is due one year from the date of registration, and every year after that. The renewal window opens 60 days before the anniversary date. The fee is $18, and a late renewal adds a $10 late fee. The renewal is the only recurring state filing cost for an LLC, so budget for it every year.
Keep your registered agent's Utah address current, because a missed notice does not stop the clock on a lawsuit. Your board also has its own renewal cycle for individual licenses, which is separate from the Division's annual renewal. A lapsed individual license is a board matter, and the entity cannot cover for it.
Costs at a Glance
| Item | Amount | Notes |
|---|---|---|
| Name reservation | $22 | Holds the name for 120 days |
| LLC filing (Certificate of Organization) | $59 | Base fee; confirm the PLLC fee on the Division fee schedule |
| Expedited processing | $75 per filing | Division Fiscal Year 2026 fee schedule |
| Commercial registered agent | $52 | Registration cost |
| Annual Report / Renewal | $18 per year | Window opens 60 days before the anniversary |
| Late renewal fee | $10 | Added when the renewal is late |
| Assumed name (DBA) | $22 to register (three-year term; check the portal for the renewal fee) | Filed with the Division, not the county |
| Corporate tax minimum | $100 | Applies only if the PLLC elects corporate treatment |
Your board's license fees, your city or county business license fee, and any DOPL occupational license fee are separate costs. Confirm each with the agency that issues it, because this guide does not list those figures.
Common Mistakes
- Filing the wrong entity type. A licensee who files an ordinary LLC may find the board does not accept it, and a PLLC that tries to offer two licensed services will not fit the statute.
- Choosing a name before checking the board. The general LLC name rules are not the only ones that apply.
- Assuming the entity covers the license. The PLLC does not license anyone, and each practitioner needs an active individual license.
- Filing a DBA with the county. Assumed names are filed with the Division.
- Assuming a city license moves with you. A city license does not transfer between cities.
- Looking for a state general business license. Utah does not issue one.
- Missing the renewal window. The $10 late fee is the smaller problem. A lapsed entity status creates bigger ones.
Where to Get Help
The Utah Small Business Development Center offers advising to business owners at utahsbdc.org. The U.S. Small Business Administration's Utah district office provides resources at sba.gov/district/utah. For the professional licensing questions, contact DOPL for most professions or the Utah State Bar for attorneys. For the structure itself, work with an attorney who handles professional entities and a CPA who has worked with licensed practices. The cost of that advice is small compared with the cost of fixing a PLLC that was formed for the wrong profession or with the wrong owners.
Disclaimer: This article is informational content, not legal or tax advice. Fees, deadlines and rules are current as of the date of publication and may change. Confirm each figure with the agency named in this guide before you file, and consult a qualified attorney and CPA for your situation.