In the United States all corporations pay taxes. There are no options. There are no offshore companies in the USA. Of course, there are numerous sellers of offshore companies who claim to sell “American offshore companies”. But the fact is that these companies are by no means offshore. These sellers either do not know about this or they just do not want to upset customers who prefer to buy only offshore companies.
U.S. tax law is about 11 volumes with 1000 pages in each one. And about 3% of these volumes change annually. So don’t expect this article to be exhaustive in explaining all taxes in the USA. This is the most general overview for understanding the structure of taxes. Taxes on corporations in the U.S. based on three levels:
- Federal taxes;
- State taxes;
- Local taxes.
All taxes are paid separately. Let’s look at each level of taxation.
- Federal taxes. Federal taxes are the same for all corporations in all states in the USA. Taxes are paid from net profit.
- State taxes. In the USA, business is regulated by the states. It means that federal laws regulation of business is minimal. They relate to federal taxes, public companies, finance and issues related to the federal government. So each state has its own corporate legislation, which often differs greatly from state to state. Therefore, attorneys take state exams and receive a state license. The same is true for certified accountants (CPA). So a certified accountant or tax attorney with a California license cannot answer your questions about taxation in New York State (and in all other states where he does not have a license).
- Local taxes. Local taxes in the United States depend on the city or county. Many regions do not have local taxes. Even if there are some taxes they are quite insignificant. For example, San Francisco has a local tax of $150 a year. You need to find out where the real office of the company is physically located. If the business is online or just registered at this address, but does not do business at this address, then local taxes are not required to be paid.
In fact, the U.S. tax system is quite complex. In each specific case, especially if it is a question of big money, we recommend to address to tax lawyers or CPA. Remember that the unpaid taxes for the total amount of more than $50,000 transfers the case from administrative to criminal. Please pay your taxes and submit your reports on time very carefully.
If you can’t do it on your own, there are many professional companies that are ready to offer their services. For example, here is the website of the company that provides tax assistance at tucson https://southwesttaxassociates.com/. It is better to choose a good company if you want to transfer this responsibility to reliable professionals.
Other corporate taxes in the USA
- Real estate tax: Charged by local authorities.
- Stamp Duties: The U.S. federal government does not charge stamp duty, but it may be applicable to individual states.
- Property Tax: The U.S. federal government does not levy property taxes, but such taxes may be imposed by state and local governments.