The advantages you will realize when you incorporate in Nevada are many. Some of the benefits include:
– Enhanced anonymity
– Reduced tax
– Protection against liability
– Limited Liability
– Flexibility on holding meetings
– Ease of incorporation
– Residency requirements
Anonymity helps to increase privacy. A Nevada corporation does not necessitate that one should disclose names of shareholders because such information is private information according to Nevada laws. For LLC, only a disclosure of directors and officers is mandatory. If you still want the officers and directors to remain anonymous, you have the option of nominating Directors and Officers who take the position of the actual owners of those positions. This helps to increase their privacy. The nominees usually have only a signatory authority but they have no control over the corporation or its funds. They can also be voted out by a majority shareholder vote at any moment.
In addition to this, Corporations in Nevada can use bearer stock certificates, which make it difficult to prove who really owns the corporation. The holder of the sock certificates control how anonymous they remain.
Flexibility on Holding Meetings
The annual meetings held by any Nevada corporation are flexible because the corporations conduct the meetings at the places of their choice and through their manner of choice. For example, they can decide to hold the meetings outside Nevada. They can also decide to use video conferencing or hold it via telephone because there are no restricting rules.
Individual tax Nevada is 45% give or take when you include nominal tax rate, medical care tax and social security tax. If you incorporate in Nevada though, the first $ 50000 net profit are taxed at 15% corporate tax. In addition to this, the corporation do not pay state income tax, capital stock tax, corporate shares tax, corporate income tax or estate taxes. The only tax your corporation needs to pay is the federal tax. You will have more tax savings than if you incorporate in another state that requires you to pay all these kinds of taxes.
Owners of the Nevada corporation enjoy limited liability, as is the case with all LLC s in any state. The owners are sure their personal assets are off bounds from creditors the LLC is indebted to. Shareholders enjoy the great asset protection that Nevada provides. The protection extends to the officers and directors. The courts in Nevada rarely permit plaintiffs, which may shake the corporate walls of any company. A plaintiff can find the officers, directors or shareholders liable for business debts and this interferes with their assets. The court on Nevada therefore provide that only in extreme cases for example of fraud and other illegal conduct that they will allow the corporate walls to be shaken.
Establishing a Nevada corporation is smooth without challenges. You only need to pay an admission cost of $125, fill in the articles of incorporation to the Secretary of state. You will also pay an annual fee of $85. After this, you will file a certificate of the registered agent appointment, which will be signed by the agent. You can finish this process online and on your phone. In less than a day, you will have formed your company. Getting your licensing and permits may also need you to pay a little money, and these are the only fees you will pay during the whole process.
If you are overseeing a Nevada Corporation, there are no residency requirements for you. You should only be 18 years and you can live anywhere, even in a foreign country. It is therefore easy for you to do business internationally if this is your goal. Nevada makes it so easy and possible for you. In order for you to enjoy all tax benefits, it is important that you incorporate at the state of residence. If your LLC is physically located in Nevada, if the office is in Nevada it will enjoy all the tax benefits that Nevada provides.
If you do not live in Nevada, you can incorporate your business in Nevada nonetheless. What you need to do is to register your business in your home state and in any other state where you conduct business. If you have business transactions in Nevada, you can incorporate in Nevada.
An important thing to note is that not all firms that opt to incorporate in the state of Nevada will instantly enjoy all the tax benefits and other benefits that Nevada offers. The type of Nevada corporation you are running will determine the kinds of benefits you will enjoy and those that you cannot. Consult your attorney or accountant to advise you on various corporate laws of various states and from there, you will find one that favors your type of business. It is important to have this knowledge before incorporating instead of having many regrets later after bypassing a greater opportunity than your current choice.
Take time to research about incorporating in Nevada; decide whether it is the right time to do it and it is the best thing for your kind of business.