Llc usa with bank account. Taxes

[Fulton Abraham Sanchez]

Not necessarily, only if you have etbus.
Also, the definition of US source might not be what you expect. For example if you make your own products it's where they are produced (not where the customers are).

We have foreign clients who own LLCs in the USA and whatever the type of product or service they sell or provide, they pay taxes if the income comes from US sources. I know there are attorneys in the internet saying that you do not have to pay taxes because you are not etbus. We disagree. If you sell a product in the US, you have to collect and pay sales tax to the state you are selling at (for multiple state selling that starts after 100K). Same principle applies to income tax.

 

[uplana]

I know there are attorneys in the internet saying that you do not have to pay taxes because you are not etbus. We disagree.

so we may get an third party source like PWC, Deliotte or so to understand what is up and down here!

 

[fshore]

We have foreign clients who own LLCs in the USA and whatever the type of product or service they sell or provide, they pay taxes if the income comes from US sources. I know there are attorneys in the internet saying that you do not have to pay taxes because you are not etbus. We disagree. If you sell a product in the US, you have to collect and pay sales tax to the state you are selling at (for multiple state selling that starts after 100K). Same principle applies to income tax.

It can be hard to really understand what it means that an entity is disregarded for taxes. But when you do understand it then things get clearer.

 

[yngmind]

You won't pay taxes only in case you haven't got customers in US, if you did, you will. Very simple and not even Delaware LLC will allow you to avoid US taxes.

 

[fshore]

You won't pay taxes only in case you haven't got customers in US, if you did, you will. Very simple and not even Delaware LLC will allow you to avoid US taxes.

You mean that any person or company worldwide have to pay US taxes if they have customers in the US?

 

[yngmind]

You mean that any person or company worldwide have to pay US taxes if they have customers in the US?

Depends, if there is a tax treaties with your country with US, you pay taxes in your country only.

you can check it there Tax Treaties | Internal Revenue Service

 

[Zaki]

You won't pay taxes only in case you haven't got customers in US, if you did, you will. Very simple and not even Delaware LLC will allow you to avoid US taxes.

that's not true at all

1. If you're providing services to US customers then There Should be NO Taxes to pay to the IRS.
   Reference: Publication 515 (2021), Withholding of Tax on Nonresident Aliens and Foreign Entities | Internal Revenue Service
2. If you're selling physical products to us customers you may have to pay sales taxes if you passed the state threshold(that's not a big problem there are some software that calculates sales tax depend on the state and add it to the total price, everything is automatically filled and invoiced; no need for accounting).

 

[Zaki]

You mean that any person or company worldwide have to pay US taxes if they have customers in the US?

No

Depends, if there is a tax treaties with your country with US, you pay taxes in your country only.

you can check it there Tax Treaties | Internal Revenue Service

this is confusing and vague

 

[ernestdezoe]

that's not true at all

1. If you're providing services to US customers then There Should be NO Taxes to pay to the IRS.
   Reference: Publication 515 (2021), Withholding of Tax on Nonresident Aliens and Foreign Entities | Internal Revenue Service
2. If you're selling physical products to us customers you may have to pay sales taxes if you passed the state threshold(that's not a big problem there are some software that calculates sales tax depend on the state and add it to the total price, everything is automatically filled and invoiced; no need for accounting).

Of course withholding is not due, they get them with Sales taxes with nexus starting as low as 50k in some states, and the most importantly the federal income tax on the yearly income of the Delaware LLC

It is important to think when reading documents . Do you really believe not paying US taxes would be as easy as setting a Delaware LLC?

How would the US be able to collect the trillions of dollars it collects in taxes yearly if the barrier to tax avoidance was so low?

 

[Zaki]

You mean that any person or company worldwide have to pay US taxes if they have customers in the US?

No

Depends, if there is a tax treaties with your country with US, you pay taxes in your country only.

you can check it there Tax Treaties | Internal Revenue Service

this is confusing and vague:
as An NRA we only pay taxes if :

1. in case of FDEP(FDAP is an acronym for Fixed or Determinable, Annual or Periodic. ); interest, royalties, rents, pensions...
   in that case, your payee keeps 30% of the sum they are paying you and remits this sum to the IRS.
   only, in this case, you should have a look at the IRS website to see if there is a tax treaty between us and your country. if it is you need to submit Form W-8BEN in order to reduce the rate of, or exemption from, withholding.
   Note: file W-8BEN if the US SMLLC is owned by a person.
   file W-8BEN-E if the US SMLLC is owned by a foreign company.
2. In case of ETBUS-->if you have at least one dependent agent(Companies or individuals who provide services exclusively to you )
   -->or if you operate in the US through a “permanent establishment;(an office or other fixed place of business).
   -->or you are performing services inside the US.
   -->if you lived in the US long enough to pass the “substantial presence test.