Let us demystify the taxation process for LLCs in the US, here’s what you need to know:

Pass-through Taxation:

Typically, a US LLC functions as a “pass-through” entity. This means the LLC itself isn’t liable for taxes on its income. Instead, the profits or losses are passed on to the owner and declared on their personal tax returns.

US Source Income:

If your LLC earns from selling goods or offering services in the US, it might be subject to taxes, depending on the state of registration.

Non-US Activities:

For LLCs not operating within the US, and if you’re not a US resident, you generally won’t owe US federal income tax. However, checking the specific tax rules of the state where your LLC is established remains crucial.

Annual Reports:

While some states require LLCs to submit annual reports, at Pivotily, we strategize the incorporation of your business to avoid this necessity. Our approach simplifies your compliance obligations.

Professional Tax Guidance:

Tax laws can be intricate. Pivotily’s friendly support team is ready to connect you with a tax expert for personalized advice, ensuring your business navigates these complexities effectively.

Staying informed and compliant is key to a smooth business operation.