Removing a member from a Wyoming LLC is easier in WY than in most other states. Here’s what you need to know:
Can I remove a member from my Wyoming LLC?
Yes. In most states, adding, removing, or otherwise changing LLC member information requires filing articles of amendment with the secretary of state—but NOT in Wyoming. One of the most attractive aspects of forming a Wyoming LLC is that LLC member information isn’t filed with the state, so removing a member simply means updating your Wyoming LLC Operating Agreement.
What if I put member information in my articles?
If you chose to include member information in your Wyoming LLC Articles of Organization, then you would have to file an Amendment to Articles of Organization with the secretary of state. That form, along with the $60 filing fee, must be delivered in person or via mail to:
Wyoming Secretary of State
Herschler Building East, Suite 101
122 W 25th Street
Cheyenne, WY 82002-0020
For more on amending your articles of organization, see Northwest’s page: How to File a Wyoming LLC Amendment.
How do I update my WY LLC operating agreement?
Your operating agreement is an internal document, so the amendment and voting procedures would be stipulated in the document itself. In general, changing your LLC members usually requires a vote and approval from all members (or a majority), as well as an updated operating agreement adopted by your members.
Do I contact the IRS if my LLC loses a member?
In most cases, no. Simply losing or adding an LLC member doesn’t require you to inform the IRS. The IRS only needs to know if your LLC will be structured differently for tax reasons.
For example: if your multi-member LLC suddenly becomes a single-member LLC (SMLLC) and you choose to be taxed as a “disregarded entity” instead of a partnership. In this case, you would need to complete Form 8832, which would allow you to change your entity classification with the IRS.