International company in Delaware with 0% tax
The state of Delaware stretches 154 km long and 14 km to 56 km wide and totals 5,328 km 2 ; Delaware is one of the smallest states in the United States. It is populated by 873,092 inhabitants. Its capital is Dover.
Delaware presents a very attractive jurisdiction for entrepreneurs wishing to incorporate an international company in Delaware. All about Delaware offshore company just below.
The Delaware international company
International companies were incorporated in the state of Delaware in 1965. This state is undeniably the most flexible US state when it comes to the incorporation of international companies.
In the business world, the popularity of the state is well established.
The state of Delaware is well-known abroad for being a tax haven of choice. In 2009, the OECD published its blacklist of tax havens and Delaware did not appear there!
Types of companies in Delaware
- the Limited Liability Company,
- the Close Corporation,
- the Non Profit Corporation,
- the S Corporation,
- the General Corporation.
The most common legal company form of company in Delaware is the LLC (Limited Liability Company). The Limited Liability Company (LLC) is an existing partnership since 1991.
The LLC has the same advantages as an international IBC and can be incorporated by non-residents.
This type of company does not have any shareholders but one or more partners and cannot carry on a commercial activity in the United States. Profits made outside the country’s borders are not taxed (0% tax).
This American state is a true paradise, in the fiscal sense of the term, but also for the real estate world. Whether it is to open a business or to open an international bank account, Delaware has many advantages.
The Interest of Delaware international company formation
Delaware’s advantages as a place of incorporation range from the Delaware General Corporation Law to the flexibility built into the corporate formation process (also check our investigation about incorporating an offshore company in Hong-Kong).
- The LLC is not subject to Federal income tax in the United States (BR: 0%) when it is owned by non-resident shareholders who are not running the business operation in the United States, and who have no source of income from inside the United States;
- Low incorporation and administration fees;
- Fast incorporation process;
- No requirement to file accounts;
- Well developed Law system;
- Delaware Corporations are often used for American trading situations;
- Quick incorporation procedures and readily understandable corporate law.