We are considering opening a Nevada Corporation and availing ourselves of many of your services. We are a web-based company with sales beginning to occur throughout the world. 100% of our business is done with other businesses.
We are based in Canada and we are looking to establish accounts and a virtual address within the U.S. As soon as possible.
The tax advantages seem too good to be true.We have several questions that we hope you can answer for us.
1. What exactly is the required reporting by a Las Vegas Corporation to all levels of government. Federal, State, and Municipal. Upon commencement and annually.
2. Does Nevada have sales tax?
3. How does sales tax with other States relate to Nevada.
4. Is it different if we were ship from California, but still Nevada based?
5. Are there Banks with relationships with Canadian Banks? i.e. We would like to make deposits from a Canadian branch to our account in Nevada.
6. How complicated is it to obtain credit in the form of L.C and credit cards through one of these Incorporations?
7. Which bank can we set up an account with with out being there in person.
8. Please provide TOTAL Cost to open a Nevada corp. to do business throughout the US and internationally.
I will attempt to answer your questions as fully as I can.
Nevada does not have state income tax, franchise tax or corporate tax. There is sales tax on non-food items. Services are also not taxed. Once you are incorporated, you will need to file for the state business license, this is where you file for you state sale use tax. How this affects your clients is any Nevada client you sell product to will have to pay sales tax.
If you drop ship product from CA, Nevada clients will still have to pay sales tax.
As for obtaining credit, each institution has its own requirements. You will have to contact the bank of your choice to find out what their requirements are. As for banks with relationships, I don’t know of any. You don’t have to come to town to open the account, but you would have to mail in the deposits, unless you are close to the US border and can drop into WA to make deposits.
The initial set up for a Nevada corporation is $283. That includes the first year resident agent. After you are incorporated, you will need to file the initial list of officers/directors. The cost of this is $125 directly to the secretary of state. If you would like us to file it for you, we charge an additional $10. You will also need to file for the state business license. The cost through the dept. of taxation is $100 if you are not required to charge sales tax, $115 if you are required to charge sales tax.
Annually, you will need to file the annual list of officers, whether anything changes or not. That is $125 a year, directly to the secretary of state. We charge $89 a year for resident agent, you can prepay your 2nd or your 2nd and 3rd year and get each of those for $40. The state business license is $100 per year. What you will need to due business in other states and internationally really depends on what level you are doing business. If you are an internet based business, you shouldn’t required to file any special paperwork in other states.