Is Nevada right for you?
Nevada built a reputation on corporate privacy and strong charging-order protection for LLC members, and that reputation is largely deserved. There is no state income tax, no information-sharing agreement with the IRS, and case law that favours the company in disputes.
What the marketing tends to omit is the annual bill. Nevada requires a state business licence at $200 and an annual list of managers or members at $150 — roughly $350 every year, before your registered agent. That is more than five times Wyoming and above even Delaware.
Nevada earns its cost when the privacy and asset-protection features are the actual reason you are forming. As a default for an online store, it is an expensive way to buy protections you will never call on.
- Asset-protection structures where charging-order strength matters
- Businesses genuinely operating in Nevada
- Founders who have weighed the annual cost and still want the protections
- Around $350 in state fees every year — the highest among no-income-tax states
- Managers or members appear on the annual list, so privacy is not absolute
- Frequently oversold as a tax haven when it is simply an expensive no-tax state
What Nevada taxes
A summary, not advice — your actual position depends on where you live, where your customers are, and how the company is treated federally.
Income tax
None — no personal or corporate income tax
Sales tax
6.85% state rate, often above 8% with local add-ons
Franchise tax
No franchise tax, but a $200 business licence plus a $150 annual list are mandatory
Nevada for a non-resident founder
Open to non-residents with no residency requirement, and well recognised by banks. The recurring cost is the deciding factor, not eligibility.
What Nevada asks for every year
Formation is the easy part. These are the obligations that keep the company alive — and the ones people forget.
- 01
State Business Licence
$200 every year, due on your anniversary. Required for LLCs whether or not they trade.
- 02
Annual List
$150 every year, naming managers or managing members. Filed with the licence renewal.
- 03
Registered Agent
A Nevada street address, maintained continuously.