Delaware as an offshore company tax haven

Published: 29th March 2011
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The Delaware non resident limited liability company (LLC) is not a partnership or a corporation. It is a distinct business entity that offers an alternative to partnerships and corporations by combining the corporate advantages of limited liability with the partnership advantage of pass-through taxation. Unlike a US corporation, a Delaware Limited Liability Company (LLC) does not pay US state or federal income tax if its owners are not US citizens or green card holders, its offices are located outside of the US, and the LLC does no business in the US. A Delaware LLC is not required to file a US income tax return. Delaware LLCs are popular vehicles for conducting international business.





The Delaware LLC is a unique non-taxable offshore corporate structure, frequently used for conducting international business outside of the United States. It is preferred to US "C" Corporations, as these corporations must file income tax returns on their worldwide income even if they owe no US taxes, do no business in the US, and are owned by non US citizens/residents. A Delaware LLC also has better asset protection features than "C" Corporations.





Delaware Companies and their Tax liability


Unlike a US corporation, a Delaware Limited Liability Company (LLC) does not pay US state or federal income tax if its owners are not US citizens or green card holders, its offices are located outside of the US, and the LLC does no business in the US.


US State income tax is levied in addition to federal income tax. In the state of Delaware corporate tax is levied on the income of all domestic businesses. All non-resident limited liability companies, corporations and limited Partnerships that do not conduct business in Delaware and do not receive income from a Delaware source, are exempted from corporate taxes, sales taxes and property taxes. The only tax paid to the state of Delaware is an annual franchise tax. There is also exemption from inheritance tax on stocks or shares held by non residents.





Delaware Offshore Company Banking


Offshore Formations 247 can incorporate Delaware companies with a choice of offshore bank accounts at the time of company formation. We work closely with a number of banks, including HSBC, and FBME bank in Cyprus. Combining the two saves time and couldn’t be simpler.


Delaware Company Formation / Registration


Offshore Formations 247 are able to incorporate a Delaware LLC. Company formation normally takes up to 1 to 2 days to register, though Off The Shelf companies are available should your requirements be more immediate.





Delaware Offshore Company Anonymity and Disclosure


An LLC does not issue shares and therefore does not have shareholders. The owners of an LLC are referred to as members. A Delaware LLC may have a minimum of one "member" (owner) or more. Each member of a Delaware LLC is liable only to the extent of his or her percentage of ownership in the LLC. Members may be an individuals or corporate bodies. There is no limit on the number of members allowed in a Delaware LLC.





Delaware LLC is not required to file state or federal tax returns. Whilst there is no requirement to file audited accounts or annual returns with the authorities, a company is required to keep financial records, which should reflect the financial position of a company. An Annual Report is required only in cases, where there is distribution of profits to US residents.


Our Services – Offshore Company Formation, Nominee Director, Nominee Shareholder, Mail forwarding and Bank Accounts





Offshore Formations 247 specialize in Delaware company formations ranging from simple company registrations to complex structures including offshore Trusts and in providing a very comprehensive assortment of administrative services to Delaware companies, including the provision of Nominee Director, Nominee Shareholder, Mail Forwarding and Bank Account services. We are also able to offer a 'transfer in' service whereby we can take over the management of your existing Delaware Offshore Company, often for no cost at all.





Our specialist Delaware company formation and company registration team:





•Retains well-established affiliations with local company agents in Delaware


•Maintains an experienced staff with knowledge of legal requirements for company formation in Delaware


•Guarantees that all company filing fees and documents are up-to-date and notifies clients of all Delaware compliance changes




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