US LLC and death taxes

[Mike Williams]

Hello

I didn't see any discussions on US LLC and US Estate taxes

If you are a resident of a country that does not have an Estate Treaty with the US then your LLC is subject to death taxes of 40% after a $60,000 deduction

Is there any way around this?

Any suggestions

Thank you

 

[daniels27]

Yes. Have a company own the LLC

 

[daniels27]

We recently discussed this and @JustAnotherNomad explained it very well

J

Post in thread 'Suitable structure/residency for active trader (Stocks, futures, options)'

Jan 5, 2025

US estate tax applies to all US assets. If you own it under your own name, that mostly means US stocks like Tesla and USD balances. If you own e.g. Japanese stocks, then those wouldn't fall under US estate tax.
But if you own them through a US LLC, then everything owned by the US LLC will fall under US estate tax, including your Japanese stocks.

If the US LLC was owned by a foreign corporation (e.g. Hong Kong or BVI or Cyprus company etc.), then US estate tax wouldn't apply since the owner of the US LLC did not die (as the foreign company did not die, only people can die).
But then again...

• JustAnotherNomad

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