Discussion:Incorporating in Del or Nev
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| Revision as of 19:01, 22 August 2008 JR1 (Talk | contribs) (The only logical) ← Previous diff |
Revision as of 21:48, 22 August 2008 Dingodile (Talk | contribs) (Delaware is targ) Next diff → |
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| {{ForumReplyPost|UserID=JR1|Date=August 22, 2008|Text=The only logical reason to org in NV or DE is a multistate entity generally, so that the laws of that organizing state can control. But since you still have to register in every state you do business, for a one or two state outfit, it makes no sense and merely increases costs and legalities. For nuttin'.}} | {{ForumReplyPost|UserID=JR1|Date=August 22, 2008|Text=The only logical reason to org in NV or DE is a multistate entity generally, so that the laws of that organizing state can control. But since you still have to register in every state you do business, for a one or two state outfit, it makes no sense and merely increases costs and legalities. For nuttin'.}} | ||
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| + | {{ForumReplyPost|UserID=Dingodile|Date=22 August 2008|Text=Delaware is targeted by a good many corporations at their inception because it has a very robust history of corporate caselaw, which allows the promoters to better manage the risk of the venture due to their ability to more accurately foresee the results of a lawsuit. | ||
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| + | Nevada is simply sold to the public by promoters who use the marketing sizzle of no state income tax (even though we all know that only applies to residents of NV) and the perception that since numerous celebrities have Nevada corporations there must be some value to it.}} | ||
Revision as of 21:48, 22 August 2008
Discussion Forum Index --> Basic Tax Questions --> Incorporating in Del or Nev
Discussion Forum Index --> Tax Questions --> Incorporating in Del or Nev
| 22 August 2008 | |
| This question was been asked of me twice this week: "Should I incorporate in NV / Del? I've heard it's advantageous to do so. What do you recommend?..." Both questioners were small start-up businesses... (a.) a bridal shop and (b.) investors in rental properties. I am wondering specifically what the benefit(s) could be. | |
Death&Taxes (talk|edits) said: | 22 August 2008 |
| Urban Tax Legend? Search Delaware Incorporation and Nevada Incorporation. Here is one sample: Discussion: Nevada non-taxable Corps | |
| 22 August 2008 | |
| D&T. I did a search and read that thread, but the posters by and large had no profile, so I didn't know how much weight to put on their opinions.
I DO respect your experience and expertise on the other hand... Can you confirm that Nevade incorporation is irrelevant for income tax purposes if the entity's services are provided in Virginia? Thanks | |
Death&Taxes (talk|edits) said: | 22 August 2008 |
| He will have to register the corporation in VA anyway, thus paying potential fees in both states. I have no idea of the yearly fees in Nevada.
The first poster on that thread was Riley. While he has no profile, we will not begrudge him that. To be fair, there may be reasons to do so in regards to corporate governance and the ability to sue, at least that is the rumor I hear about Delaware, but for taxes? A bridal shop? Nothing. | |
| August 22, 2008 | |
| The only logical reason to org in NV or DE is a multistate entity generally, so that the laws of that organizing state can control. But since you still have to register in every state you do business, for a one or two state outfit, it makes no sense and merely increases costs and legalities. For nuttin'. | |
| 22 August 2008 | |
| Delaware is targeted by a good many corporations at their inception because it has a very robust history of corporate caselaw, which allows the promoters to better manage the risk of the venture due to their ability to more accurately foresee the results of a lawsuit.
Nevada is simply sold to the public by promoters who use the marketing sizzle of no state income tax (even though we all know that only applies to residents of NV) and the perception that since numerous celebrities have Nevada corporations there must be some value to it. | |
