Interested in learning more about a Nevada Limited Liability Company (LLC)? The information below is presented in FAQ format in an effort to answer the questions mostly commonly asked of us regarding this unique form of LLC:
Does Nevada have a state income tax on LLCs?
For most business there is no tax. However, on May 31, 2015 a new Commerce Tax on gross receipts in excess of $4 million within Nevada will be taxed. For Limited Liability Companies formed for asset protection purposes this tax will not be an issue.
Do you have to be a Nevada Resident to be a member of a Nevada LLC?
No, you do not need to be a resident of the state of Nevada to be a member
Is the Nevada courts system favorable to business cases?
Nevada has been putting lots of effort into their court system so that it supports the business climate and has a full understanding of issues relating the Limited Liability Company law. Their business court is among the nation’s best.
Is a charging order the sole remedy in Nevada?
Yes, the charging order is the sole remedy. In addition, Nevada recognizes single member Limited Liability Companies and extends the charging order as the sole remedy to single member Limited Liability Companies. Also, the charging order is the exclusive remedy of a judgment creditor against the owner of corporate shares in Nevada. This is the only state to offer charging order protection to corporate shareholders.
What about Nevada’s past “seedy” reputation?
Nevada has recently gone to great strides to clean up its reputation. Over the past four to six years, the Secretary of State has made major inroads in getting rid of a lot of the disreputable business practices that were occurring in the state. Many companies were shut down or prosecuted for engaging in questionable business practices. The state has a much enhanced reputation as of late.
Does Nevada have expedited filing?
Yes. Actually, it is one of the few states that does. It can be very convenient because for a relatively nominal fee your company can be ready within 24 hours.
Does Nevada have a history of asset protection?
Yes. The state has been a major player since the 1980s in the formation of Family Limited Partnerships and Limited Liability Companies for asset protection purposes. They continue to have excellent asset protection laws for Limited Liability Companies, Corporations, Family Limited Partnerships, and trusts.
Interested in learning more about LLCs?
Visit our Limited Liability Corporation (LLC) page to learn more about what it means to create and/or enter into an LLC.