Nevada - LLC Company Incorporation
Nevada key points
- Time - only 3 days to incorporate your company
- Cost - a Nevada company will cost £760
- Directors - only one director of any nationality, is necessary for your corporation
- Shareholders - only one shareholder of any nationality, is required
- Share Capital - there are no Minimum Capital Requirements
- Support - using our 20 years experience we guide you throughout every step of the company formation process
- There is no requirement to file accounts or financial statements
Many US non-residents are incorporating companies in Nevada, some of which are operating within America, others of which are operating entirely outside and have no connection with the US other than the registration of their company.
What type of Nevada company should a non-resident incorporate?
For many people, pass through taxation, or the ability to have their entity treated as a non tax paying entity is important. This objective can be achieved by incorporating a Limited Liability Company (LLC) instead of a corporation.
For US non residents, use of an S Corporation is not possible because one of the requirements of becoming an S Corporation is that all shareholders must be US residents. While there is no Corporate Tax in Nevada for a Corporation, the Nevada Corporation still has to file a tax return, and pay federal taxes.
Differences between the C-Corp, S-Corp and LLC.
If you are a not an American citizen, then your company cannot be a S-Corporation. You will a C-Corporation or an LLC.
LLCs are easier to run (less paperwork) and you file the LLC taxes along with your own at the end of the year. Corporations have more paperwork (quarterly filings, minutes, and a board meeting), but you have a higher potential for tax savings (with employees or product sales).
The three types (C-Corp, S-Corp and LLC) offer person liability protection to the owners - so that the personal assets are not generally at risk for business liabilities. Most of our clients that are starting a service company, where the owners are the only ones providing the service, will choose an LLC.
Advantages of Nevada LLC's and Corporations
- Directors need not be shareholders of a corporation, so you may have a nominee shareholder, which we would be happy to provide. Similarly, Managers of an Limited Liability Company need not be shareholders.
- Nevada corporations may purchase, hold, sell or transfer shares of its own stock.
- Nevada corporations may issue stock for capital, services, personal property or real estate, including leases and options. The directors may determine the value of any of these transactions, and their decision is final.
- One Person Requirement for a Corporation or an LLC. One person can hold the offices of President, Secretary, Treasurer and be the sole director of a Nevada Corporation. Many States require at least 3 officers and/or directors. One person can be the sole Member and sole Managing Member of an LLC.
- No Need to come to Nevada - a Corporation or an LLC can be incorporated by email, fax or telephone and the person incorporating never has to visit the state, even to conduct annual meetings. Meetings can be held anywhere in the world at the option of the Director(s) or Managers.
- No Corporate Income Tax paid to the State of Nevada for Corporations - some states levy taxes up to $1000.
- No Minimum Capital Requirements for Corporations, and the capital does not need to be put into a bank account.
- No Corporation Franchise Tax is paid to the State of Nevada: many states which encourage company formation levy such a tax.
- Sales tax applies only to products sold within Nevada.
- No Corporation Succession Tax.
Confidentiality with the Tax Service in the US
Nevada has always held to the policy of no reciprocation of favours with the Internal Revenue Service. Unlike other states, Nevada continues to decline discussion of private information.
You will need to provide the tax authorities with the name and social security number of someone involved with the company to obtain an EIN number.
Similarly, your company will be required to prepare tax returns or returns giving information for an S Corp. or for an LLC which will give details of the owners of the company.