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What is the benefit of a Delaware LLC?

Forming an LLC in Delaware has several benefits, including privacy protection, strong protection from creditors, the potential of forming a series LLC, state tax advantages, and a special court, the Court of Chancery, for business matters.

What is special about a Delaware LLC?

Another benefit of a Delaware LLC is their tax flexibility. When an LLC is formed, the owners can choose whether they want the LLC to be taxed as a partnership, an S corporation, a C corporation or a sole proprietorship. Single-member LLCs are not recognized by the IRS and therefore pay no taxes at all.

Why would you form an LLC in Delaware?

Delaware is often considered one of the best states to form an LLC because it has limited fees and tax obligations. In fact, many businesses choose to form an LLC in Delaware even if they dont intend on doing business in Delaware.

Do you pay taxes on Delaware LLC?

LLC/Partnership Tax Information All Domestic and Foreign Limited Liability Companies, Limited Partnerships, and General Partnerships formed or registered in Delaware are required to pay an annual tax of $300.00. There is no requirement to file an Annual Report.

Why do businesses incorporate in DE?

The key benefits to incorporating in Delaware are tax benefits, privacy, expediency, simplified structure and the corporation court.

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