The common reasons among Indians are tax savings, legal protection and avoidance of estate tax that applies to foreign investors in the United States. The common incorporation method in the case of US real estate investments is through an LLC, whose owners are not personally responsible for the LLC’s debts. Important for US real estate investors interested in protecting against tenant claims or third party claims related to the above activities.
Another reason for the establishment of a US Here’s expanding business operations into other markets with a potential audience range. The advantage of Company registration in USA is the access to the American audience predisposed preference to conduct business with a local company in the United States. The US market is huge and has a lot of money, and therefore ownership. A business in the United States has a huge profit potential for the business owner.
The first step in making an investment in the United States is to make a decision about how to make the investment – directly as an individual or indirectly by one of the corporations recognized by American law. For the most part, Indians seeking to make real estate investments in the United States prefer to make their investment indirectly by an LLC type association.
Obligation to file U.S. tax returns
Many citizens living in India are required to file Income tax return in USA (US TAX). Failure to comply with this requirement is a violation of the law.
Anyone who conducts business in the United States, even if he is not a U.S. citizen and does not hold a green card, is required to file a report. This section includes Indian residents who work in the United States (including employment under an Indian employer or a foreign employer), Indians who pass the residency tests for tax purposes in the United States, and Indian residents who invest in US real estate or who conduct business activities any by opening a company in the US.
An easy tool for doing business in the US, a quick (relatively) “clean” registration and easy to design as needed solves bureaucracy in many cases of foreign entities (bank account, e-commerce…) combines legal protection against claims And exposure of personal assets (not in any case) together with simplicity for alleged tax purposes “it is difficult to gain ownership” (depending on the state).
Consultation is important
There are quite a few reasons against setting up an LLC and each case on its own and it is important to consult before deciding to set up a company.
LLC may be the ultimate form of incorporation for many investors: it guarantees legal protection and tax transparency and its establishment process is relatively simple. However, despite its relative simplicity, its establishment should not be taken lightly. Questions such as adapting the form of incorporation to the needs of the investment, the ultimate location for its establishment and the wording of incorporation documents – require professional attention and knowledge. Preliminary strategic planning and ongoing consulting will avoid unnecessary expenses and procedures, and will ensure optimization of your investment.