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USA

A country in North America. The United States border in the north with Canada, in the south with Mexico, and also have a maritime border with Russia. USA are washed the Pacific Ocean in the east and the Atlantic Ocean in the west

Capital

Washington

Official language

English

Government

According to the U.S. Constitution, certain powers for the state government are handed over to the U.S. federal government. U.S. states have state powers not handed over to the federal government. The principle of separation of powers is set out in the U.S. Constitution: the federal government has legislative, executive and judicial bodies, acting independently of each other. Supreme legislative body is the bicameral U.S. Congress: the lower house is the House of Representatives, the upper house is the Senate. The supreme body of executive power is the U.S. president. The President is the Head of State and Chief of the Armed Forces. There is a vice president. The highest judicial authority is the Supreme Court of the United States.

Currency

U.S. Dollar (USD)

Economy

USA is the world's largest economy. USA has lots of natural resources, including energy and raw materials. Hi-tech manufacturing and research are the best in the world. The country has a well-developed service sector, competitive industry, excellent system of higher education. U.S. companies are flourishing thanks to wide spread American culture in the world. US is the world's largest exporter of goods. It is remarkable for political stability, qualified workers.

Legal system

Based on common law.

Corporate law

Different for different states. The most suitable states for the purposes of tax planning are: Arkansas, Wyoming, Delaware, Colorado, Oregon, and New Jersey, New York and Washington.

• Limited Liability Company Act
• Model Business Corporation Act

Types of companies

• Limited Liability Company
• Limited Liability Partnership
• Domestic International Sales Corporation
• "S" Corporation
• Trust

Limited Liability Company

• The name of a limited liability company must include: "Limited Liability Company" or the abbreviation "LLC".
• LLC is not permitted to be engaged in certain types of activities, such as banking, insurance, financial services, consumer credit.
• No requirements on the authorized capital.
• LLC does not issue shares and, therefore, has no shareholders. Owners of such companies are called members.
• A company with limited liability in Delaware must have at least one member (owner) or more.
• Each member of LLC is only liable within the limits of its share ownership of the company.
• Participants in the company can be both physical and legal persons. There are no restrictions in the number of participants in such company.
• LLC is managed by its members, unless otherwise is stated in the memorandum or the Charter.
• The annual renewal fee for the company in these states tax varies 50 to 150 USD.
• Filing of financial statements, annual reports and audit are not required for non-resident LLC established in these states. But if at any time the company's account balance exceeds 10,000 USD, it will be required to provide a Report of Foreign Bank and Financial Accounts - FBAR.

Corporation

• • The name of the corporation must contain one of the words: "Corporation", "Incorporated" or their respective abbreviations.
• • Corporation can have an unlimited number of shareholders, both residents and non-US residents (individuals and legal entities), unless the corporation is not providing professional services, not a charity or trustee or involved in activities related to real estate investments.
• • Corporation may issue shares of different types, and in some states bearer shares are allowed.
• • At least one manager (director), a founder and secretary are required.
• • Meetings of shareholders / managers may be held anywhere in the world.
• • Corporation, irrespective of whether it does business in the U.S. or not, must keep accounting and submit financial statements, that in some cases may require the involvement of the U.S. licensed auditor.

Taxation of companies

LLC, registered in the states: Arkansas, Wyoming, Delaware, Colorado, Oregon, and New Jersey, New York and Washington, held by nonresidents and doing business outside the U.S. are not subject to federal income tax. Profit Corporation, as a rule, is subject to double taxation - on profits of the enterprise and on dividends distributed to shareholders, if the Corporation decides to distribute dividends.

Agreements on avoidance of double taxation

United States has signed agreements on avoidance of double taxation with many countries. However, non-resident companies are not subject to agreements on avoidance of double taxation.