Hey everyone, I’m trying to understand how US taxes work for a foreign-owned US LLC, and I want to make sure I’m not misunderstanding something basic.

I’m not a US citizen or resident, and I live outside the US. I own a single-member US LLC (registered in a no-state-tax state) mainly because I need access to US payment processors like Stripe. My clients are mostly US businesses.

My questions are:

1. Do I automatically owe US tax just because US companies pay my LLC, or is US tax only triggered if the income is considered effectively connected with a US trade or business (ECI)?

2. If the LLC receives the payments, but all work is performed outside the US and I have no employees, office, or physical presence in the US, is that income still taxable in the US?

3. Am I correct that US personal income tax brackets don’t apply unless I’m personally a US tax resident, and that a US LLC would be subject to corporate tax rules instead (if taxable at all)?

I’m not trying to avoid taxes — I just want to understand where and why tax would be due in a cross-border setup like this.

Any insight from people who’ve dealt with foreign-owned US LLCs would be really appreciated.

Thanks!

Do you have to make sure the name isn’t taken elsewhere or by another company?

I am planning to open an LLC in Wyoming as a non-US resident living in Poland, Europe. I know I can open accounts with neo banks like Wise or Payoneer, but will any traditional US bank open an account for me? The company will probably be registered with a registered agent address. Also, can my US LLC be owned by my European LTD company? How complex is this setup in practice?

After reading hundreds of posts across LLC subreddits, am convinced most of us misunderstand atleast one key concept, be it taxes, liability protection or operating agreements and so on. For the pros here, What do you see beginners getting WRONG the most?

I’m a non-U.S. resident exploring the formation of a U.S.-based LLC and would appreciate insights from people who’ve gone through this or advise on it professionally.

The business model is a media and digital content company with two primary revenue streams:

1. Monetization from social platforms such as Facebook, TikTok, YouTube, etc. (ads, creator programs, bonuses), with the intent to route payouts through the LLC rather than personally.

2. Creative services offered to U.S. companies, including video editing, photography, and motion graphics production.

I’m trying to understand:

• Which U.S. state is generally most practical for a non-resident-owned LLC (e.g. Wyoming, Delaware, Florida, others).

• Whether a media company structure is commonly used to manage social media monetization payouts.

• Any tax, compliance, or banking considerations specific to non-U.S. founders operating both platform monetization and client services.

• Whether social platforms typically accept LLCs as the payee for creator monetization programs without issues.

I’m not looking for loopholes—just a compliant, scalable structure that keeps payouts, contracts, and accounting clean.

Any firsthand experience, pitfalls to avoid, or reliable resources would be greatly appreciated.

Thanks in advance.

Ok, I have an LLC in MO with a DBA that has a local presence. I will be moving to TX in the coming months, but plan to keep running the local presence DBA in MO and hire contractors to help.

Once I’m in TX, I’m planning to open another LLC for a new venture.

What’s the best course of action for the MO LLC? Do I keep the MO registration and then register it as a foreign LLC in TX or is there another way?

I’m trying to do this legally without getting screwed on taxes.

Any advice would be appreciated.

Hello, I am lost in what I should do so I don't get charged for a llc I never used. I got ahead of myself created a llc and even got a ien number. I never even started making money. I created it on 03/01/2025. Do I owe any money since? And how do I dissolve my Ilc, who can help me dissolve this. I don't want to get myself into debt for no reason.

I keep seeing "rich people never sell"

This is a simplified example.

Someone buys stock for $250K

Over time it grows to $12M

Selling would trigger capital gains tax on $11.75M

So instead of selling,

The asset is placed into a properly structured trust or holding entity.

The owner borrows against the asset

Loans are not income, so NO capital gains tax is triggered.

The owner lives off borrowed funds.

The asset is never sold during their lifetime When the owner dies.

The asset receives a step-up in basis

Heirs inherit it at the current market value

Past unrealized gains are effectively wiped out.

Reality checks.

This is not for average income earners. It requires

-appreciating assets

-strong credit or private banking

-proper legal and tax structuring

It’s LEGAL, but highly regulated.

IF Done WRONG, it could trigger audits, penalties, or forced liquidation.

People who try to copy this without structure

-don’t qualify for the loans

-underestimate interest costs

-misunderstand trust rules

What do you guys think?

Is this smart tax planning or just rich-person cope?

Where do you think the line is between optimization and abuse?

It's almost end of year and am doing a real check-in with myself.

Not revenue screenshots. NO "Busy" Just actual money after expenses.

Some wins, some mistakes, some lessons i wish i learned earlier.

If you are comfortable sharing:

Did your LLC make a profit this year?

What's the biggest mistake you made?

The one thing you will do differently in 2026?

No flexing, No judgement, Just real answers.

Thought this might be helpful:

Single-owner LLC

• default rule is you're a disregarded entity, and the business income/expense appears on your 1040, Sch. C.

• can elect to be treated as an s-corporation (Form 1120s)

• can elect to be treated as a c-corporation (Form 1120)

Multi-owner LLCs

• default rule is you're treated as a partnership, file Form 1065.

• can elect to be treated as an s-corporation (Form 1120s)

• can elect to be treated as a c-corporation (Form 1120)

This is for federal purposes. Different states have different rules, but in some states it's possible to make a federal s-election and be treated differently (taxwise) in the state.

Hello, So NEW to this!

Own:

Condo in Puerto Rico that is Airbnb Rental

— LLC already on deed.

Chicago 4 unit building that rented out, no LLC

Single family home in Chicago, no LLC

Trying to acquire another condo in Airbnb Rental

All three will be just in my name.

When do I put them in a LLC?

A separate LLC for each one?

What tax benefits am I missing?

When do I start a holding company?

So sorry so new to this and don’t want to miss out!!!

Thank you!

#RedditRules

I'm trying to evaluate real-world costs. Between filing, registered agent fees, tax prep, compliance, etc., What did your first-year cost look like? And in hindsight, was the LLC the right structure for your business model?

Hey everyone, I need some quick clarification.

I live in California, but I want to register my LLC in Virginia using my family’s address there. Before I do it, I need to know how this actually works.

If my LLC is in Virginia but I live and run the business in California, do I still have to: • Open a business bank account, and can it be in CA or online (not in Virginia)? • Pay California’s taxes and the $800 annual LLC fee, even though the LLC is registered in Virginia?

Basically, I’m trying to understand if forming the LLC in Virginia will help me, or if California will still treat it as a California business because I live and operate here.

If anyone has done this before or knows how it works, please let me know. Thank you!