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An LLC in the United States with more than one member has a default partnership tax status for tax purposes as set out in section 301.7701-3 (b) (1) (i) of the Treasury Regulations. The partnership is not a taxpayer, but transfers revenue shares of all profits and expenses to its members who act as tax partners. In the event that partners are not residents of the United States and do not spend time in the country, their LLC is considered a non-resident for tax purposes under section 7701 (b).


In fact, there is no tax in the United States, but it does arise at your place of residence. It should also be borne in mind that the United States has a fairly large tax on repatriation of funds outside the United States. Therefore, the option of opening a company in the United States may be most interesting for programmers who earn and spend the money they earn in the United States.


Note: LLC is an option exclusively for small businesses, large ones need a Corporation, which is much more difficult and time-consuming to work with.


It seems that in the case of LLC everything is simple, but there are still a lot of nuances and risks when working in the United States as the main jurisdiction.

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Planning for the future.


It is not an offshore, is not included in the black lists of offshore zones, although it has long been considered one of the main offshore jurisdictions; The corporate tax is 12.5%; Information about shareholders and directors can be obtained from the register. Now a register of beneficiaries is being formed, which will not be available to the general public; It is obligatory to submit audited reports to the tax authorities once a year.

Director - at least one, individual.


There are no residency requirements, but if the director is not a Cypriot, the company is recognized as non-resident, such a company will not receive a tax residency certificate. Such a company is not acceptable, since you need a Tax Resident Certificate to pay dividends. A local secretary is required. For large IT companies, it is possible to organize an IP box mode.