How to open an LLC in the USA by a foreigner 2023

It is possible to register an LLC to a foreigner in the USA quickly and without problems, if the whole package of documents is submitted at once. It is possible to save significantly on taxes if you carefully study the fees to be paid to the local budget when choosing a state.

The Importance of Choosing a State

Pay attention to the choice of state where the LLC will be registered. Ideally, it is best to do so where you plan to do business or live. If the foreigner has not decided on the place of residence or business, you can focus on taxes. For example, in 9 states you do not have to pay local income tax. But note that federal taxes must be paid regardless of the state of incorporation. Popular options are Florida, Texas, Nevada, Wyoming, Delaware.

How to register LLC in the USA

You can register a company in person or online by applying directly to the state authorities. To open an LLC in the USA a foreigner should proceed as follows

• Hire a registered agent (e.g. contact IT-OFFSHORE), who will represent the interests of the company - a prerequisite for LLC.
• Pick a unique name. Before filing for registration, check the name in the state register. If it already exists, another option is needed. Additionally, make sure a website address with the right name is available so the company can be easily found.
• Get a TIN (Taxpayer Identification Number). The process is not complicated, but can take several weeks.
• Develop an operating agreement (if necessary). It should describe how you will manage the operation of the company, name the owners, their share of the business, other nuances.
• Get a local phone number - needed to open a bank account, verify the business, confirm the location of the company, communicate with customers, etc.
• Apply to open an LLC in the U.S. to a foreigner, attaching a package of documents, paying the fees. Each state has its own filing fee, with the amount varying from $50 to $500.
• Wait for the authorities to respond.
• Obtain business licenses and other required permits.
• Publish the LLC education information in the newspaper. This step is not required in all states, but extra publicity about the new business does not hurt.

If you plan to live and work in the U.S., first find out if you get a visa: the consulate may refuse. To make sure everything goes smoothly, contact our experts.

Opening a Bank Account

A company registered in the U.S. must open a bank account. To do this, you need a U.S. phone number and a physical address. Opening a bank account is the biggest problem when registering an LLC in the US, but our specialists will solve it easily.

Taxes

Tax requirements are extremely confusing, so you can't do without a specialist. For example, if you are the sole owner of the LLC and do not work in the U.S., you can not file Form 1040NR and do not pay taxes on personal income. Also consider that there are federal and local taxes, and the first must be paid, unless otherwise stated in the law.

Be prepared that a company registered in the United States must file regular tax returns with the authorities in the state where the business is located. After one year, or even earlier, you must fill out an income tax return, which is collected from non-residents (Form 1040-NR). About other taxes an accountant will tell you in more detail.

How to apply for an LLC in the USA

For registration of LLC in USA in 2023 please contact IT-OFFSHORE experts.