Q: Can a International Nationality Entrepreneur who isn’t a US Citizen or a US Resident be a shareholder of a US Company?
A: Sure. U.S. legal guidelines enable a international nationality particular person to include a enterprise within the US. You might be open your US enterprise and be a sole shareholder.
Q: Can a International Firm (Company) be a sole shareholder of a US Company or Restricted Legal responsibility Firm?
A: Sure. A International Firm can maintain 100% of the shares of a US Company and/or a US Restricted Legal responsibility Firm. The US Entity shall be a subsidiary of the International Company.
Q: What ought to I contemplate when selecting the kind of entity within the US?
A: U.S. and States legal guidelines provide a number of varieties of enterprise entities for a International Nationality Entrepreneur. When selecting your US Entity you need to contemplate the next points:
1) Possession Construction (Who’re the shareholders? People or Companies? U.S. Residents or International Nationality?
2) Tax Planning (what sort of entity will offer you essentially the most tax benefits within the U.S. and in your personal nation?
3) Enterprise Function (what would be the nature of your U.S. Enterprise exercise – On-line Buying and selling, Actual Property, Retail, Manufacturing, Consulting, R&D, Wholesale, Advertising.
4) Future plans for fund elevating and/or including new shareholders. Do you intend to lift capital by going public? Will you’ve gotten extra shareholders sooner or later (U.S. Residents and/or International Nationality).
Q: What are my choices as a Non-US-Resident in terms of Entity Sorts?
A: Non-US-Resident has the next choices to setup a US Entity:
1. C. Company, often called Pattern Firm Title, INC.
2. Restricted Legal responsibility Firm, often called Pattern Firm Title, LLC.
NOTE: There may be one other sort of Company obtainable within the US (S. Company). Nevertheless, shareholders of S. Company have to be us-residents.
Q: What are the similarities between Company and Restricted Legal responsibility Firm?
A: Company & LLC each have mutual benefits:
1. Separate Entity (from its shareholders) incorporate below State Legal guidelines.
2. Present restricted legal responsibility to its shareholders. The entity is liable not the shareholders.
3. House owners of the entity might be people or company even when they’re non-us-residents.
4. There isn’t a restrict on the variety of homeowners / shareholders. Permit the entity to “go public” or add limitless variety of shareholders.
5. Permit completely different lessons of shares holders or possession (most well-liked, frequent, and many others’)
6. Generally is a U.S. Employer
Q: What are the variations between Company and Restricted Legal responsibility Firm?
A: One main distinction between Corp & LLC is the Tax Therapy of the entity’s revenue and the best way every entity reviews its taxes to the tax authorities.
Company is a “Separate Entity” by way of legal responsibility and taxes. Earnings of C. Company are topic to Company Tax Charge (Federal & State Stage) and the company is responsible for its personal taxes. Dividends are topic to “dividend tax charges”.
Restricted Legal responsibility Firm is a separate entity by way of legal responsibility BUT within the eyes of the tax authorities it’s a “pass-through tax entity”. Earnings of an LLC are usually not topic to Company Tax Return on the LLC stage. They’re added to the proprietor’s taxable earnings. If the proprietor is an Particular person, the LLC’s income are topic to Particular person Tax Charges and if the proprietor is a Company, income shall be topic to Company Tax Charges.
For instance:
C. Company
(Particular person Proprietor)
Annual Revenue: $100,000
Particular person Tax Charge: 26%
Earnings Tax: $26,000
Internet Revenue: $74,000
House owners internet money move: $74,000
Efficient Tax Charge: 26%
Restricted Legal responsibility Firm
(Particular person Proprietor)
Annual Revenue: $100,000
Company Tax Charge: 34%
Earnings Tax: $34,000
Internet Revenue: $66,000
Dividend: $66,000
Dividend Tax Charge: 15%
Dividend Tax: $9,900
House owners internet money move: $56,100
Efficient Tax Charge: 43.90%
Tax reviews:
C. Company should report earnings, bills and revenue as a separate entity utilizing Kind 1120 (Company Tax Return).
LLC should report back to its members (homeowners) their share within the LLC’s revenue utilizing Kind K1. Every member will add his/her share to his/her taxable earnings. Particular person Member will file Particular person Tax Return (Kind 1040) , Company Member will file Company tax Return.
Q: How do I select the most suitable choice for my state of affairs (Company or LLC)?
A: As you see there are a lot of issues in selecting sort of U.S. Enterprise Entity. We strongly advocate consulting with our specialists to realize one of the best tax and enterprise benefits to your particular person circumstances. You might contact us at : +1-202-742-6311
Q: The place do I incorporate my U.S. Enterprise? Is it necessary by which State?
A: United States Is a Federation. There are fifty states and one district (District of Columbia). While you incorporate a US Entity, it’s important to incorporate your online business below state regulation – state of incorporation.
Q: How do I do know by which state I would like to include?
A: There’s a fundamental rule in selecting your state of incorporation – “bodily presence” or “nexus”. Below State Legislation, when you have a bodily presence within the State, it’s important to incorporate below it. The that means of “Bodily Presence” or “Nexus” is normally if you’ll have an workplace, showroom, manufacturing or retail facility, make use of staff, ship or set up merchandise.
Q: Our Firm is doing enterprise utilizing our web site (on-line gross sales). We do not want workplace and we needn’t make use of within the US. The place ought to we incorporate?
A: If you do not have a “nexus” in any state, you might be free to decide on to include in any state. Incorporating your online business in Delaware State will offer you a whole lot of tax, authorized and monetary benefits.
Q: What are the necessities for a non-us-resident to include in Delaware?
A: In an effort to Incorporate in Delaware (or in some other state) you need to observe these steps:
1. Fill out our Incorporation Utility Kind at: GlobesAmerica.com
2. It is best to have obtainable:
Copy of your passport (with photograph ID and a proof of deal with in your nation)
3. It’s essential to present us two title ideas to your US entity. We are going to confirm with the State that the title is out there.
4. There isn’t a quantity of Share Capital required by the state.
Q: What occurs after you obtain my Incorporation Utility Kind?
A: Our Processing Division evaluations your software and provides an preliminary approval. Your software now goes to our Incorporation Crew to proceed with the Incorporation Course of. At this level you’ll obtain your Incorporation bill and a Credit score Card Authorization kind to fill out, signal and ahead again to us. After processing your cost we are going to e-mail you a affirmation and proceed with the method.
Q: What are the Incorporation Steps?
A: Listed here are the steps included within the Incorporation Course of:
1. Title Examine: We run a reputation verify with the State. If the title you requested is out there we are going to transfer ahead with the incorporation. If the title is unavailable we are going to ask you to offer a brand new title suggestion.
2. File your Incorporation Utility with the State: We put together your incorporation software to the State. One of many main paperwork each state requires to incorporate within the software is Article of incorporation (should you setup a Company) or Article of group (should you setup an LLC). As a part of the method we are going to put together the Articles and ensure they’re complied with State Legal guidelines & Laws.
3. Resident Agent: We interact a Resident Agent to your entity, which is a enterprise or particular person designated to obtain service of course of (SOP) when a enterprise entity is a celebration in a authorized motion equivalent to a lawsuit or summons. The registered agent’s deal with might also be the place the state will ship the paperwork for the yearly renewal of the enterprise entity’s constitution.
4. Tax ID Quantity: We retrieve from The Inner Income Service (IRS) an Employer Identification Quantity (EIN), which identified additionally as Tax ID Quantity. The EIN is a statutory requirement if it’s worthwhile to conduct enterprise within the US, Open a Financial institution Account, File Tax Return, Apply for Credit score or Make use of staff.
5. Enterprise Handle: Your entity shall be assigned a Enterprise Handle within the State of Incorporation. The enterprise deal with shall be used to obtain mail objects and ahead to you anyplace on the planet. You might also use the enterprise deal with in your letterheads, official company correspondence and authorized paperwork.
6. Company Equipment: We put together a Company Equipment to your US Entity which incorporates essential paperwork: Certificates of Incorporation / group, State Filling Proof, Share-Holders Settlement / Member-Ship Settlement, Share Certificates / Member Certificates (Proof of possession) and Shares Registered Log 법인설립.
Q: How lengthy it takes to finish the Incorporation Course of?
A: We put together and file your incorporation software inside 24 hours upon receipt of your cost. Most States will take 24-48 hours to course of and approve the appliance. It should take one other 24-48 hours to retrieve your EIN and put together the Incorporation Equipment.
Q: Are there annual charges to maintain my company in good standing?
A: Each State requires to keep up the company or restricted legal responsibility firm by paying annual charges. The annual charges differ from $50 to $800 relying on the State of Incorporation. We are going to notify you on the due date and help you with the correct filling and cost of the annual charges to maintain your entity in good standing.
Q: Do I must file Tax Return?
A: Sure, Each entity required to file an annual tax return to the IRS and the State which it’s doing enterprise in. Some States additionally require Franchise Tax Return. Our Tax Specialists will help you with making ready and submitting the required tax return.
Q: Can my Company / LLC make use of staff within the US?
A: Sure. Each US Entity might be an employer. You’ll have to register the entity within the State of Employment as an Employer and make the correct Payroll Preparations. Our Payroll Division will help you in registering your entity as an Employer and make the mandatory payroll preparations to permit you utilize staff within the US.
Q: What do I do, if I’ve questions on taxes, accounting and enterprise transactions associated to my US Company / LLC?
A: Each shopper has a Devoted Enterprise Advisor (DBA) who’s your Company guide in Globes America. You’ve limitless entry to your DBA through e-mail, telephone and on-line chat. You might seek the advice of along with your DBA on each situation associated to your online business actions within the US.