d. Should I form my entity in NV or DE?

Should I form my business in Nevada?

Why do people form a business in Delaware.

The reasons for choosing a state other than your home state for forming your business entity ARE NOT tax reasons. You will pay tax in your home state regardless of where you form your entity.

The motivating factors are typically liability protection and/or flexibility in stock/ownership.

Review the following articles on why people choose Nevada or Delaware for forming their business entity.

http://www.myllc.com/which-state-to-form-llc.aspx

 

One Response to “d. Should I form my entity in NV or DE?”

  1. Rafael Says:

    On the topic of forming entities. What happens with foreign entities that form an LLC or buy property in the US. If i had a part ownership in a foreign entity I’d be taxed there and here? Also, are there treaties in place with certain countries that are more beneficial from a tax perspective than others?

    I ask because for the MRED program there is the possibility of working with some foreign investors with cash. But I’ve been trying to see what would be the best method of putting that money to work and avoiding big tax charges.

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