Select your state

Taxes

franchise tax

A franchise tax is a state tax on businesses and other entities (corporations, limited liability companies, trusts, etc.) that are formed in or doing business in a state.

A franchise tax is said to be a tax on the privilege of doing business in a state and is sometimes referred to as a privilege tax. The amount of tax due is often calculated as a percentage of a business’s income, for example.

In Wisconsin, the franchise tax is imposed on corporations for the privilege of exercising their corporate franchise, doing business, or holding property within the state. This tax is administered by the Wisconsin Department of Revenue. The franchise tax rate for Wisconsin is currently 7.9% of the corporation's income, which is the same rate as the corporate income tax. It's important to note that other business entities, such as limited liability companies (LLCs), partnerships, and sole proprietorships, are generally not subject to the franchise tax in Wisconsin; instead, income from these entities is passed through to the owners and taxed at the individual level. Corporations are required to file annual franchise tax returns, and the amount of tax due is based on the corporation's net income as apportioned to Wisconsin.

Legal Articles

State Statutes

Individual & Family Legal Plan

As a LegalFix member, you'll get expert legal services from a local law firm that treats you like an important client. Don't wait—be prepared for life's inevitable legal challenges starting today. And ask your employer, credit union, or membership group about preferred pricing opportunities.

Taxes

franchise tax

Individual & Family Legal Plan

Articles

Wisconsin State Code

Wisconsin State Code

Taxes

franchise tax

Articles