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Based in brooklyn. should I form an llc in ny instead of delaware?
2 points by samirsd on March 14, 2019 | hide | past | favorite | 5 comments


If you form a Delaware LLC, you'll then need to register it in NY as well, so you'll be double paying. There's no reason to do so.

A Delaware LLC will be $90 to form, plus annual $300 franchise fee, plus annual registered agent fee (probably $50-$100).

NY registration will be $250, plus $50 certificate of authority, plus $9 biennial fee.

https://www.dos.ny.gov/corps/llccorp.html#fappauth


thinking about doing stripe atlas because it's 500$ and the llc is for a software company.


If the LLC is for one person the taxes will pass right through. Either way you'll be paying NY taxes


A single Member LLC in NY (aka SMLLC) is treated as a disregarded entity for tax purposes unless you elect to be taxed as a corporation.

"A single-member LLC (SMLLC) may choose to be taxed as a corporation, including an S corporation, or to be disregarded as an entity for federal income tax purposes.

If the SMLLC is disregarded and the single member is an individual, the SMLLC will be treated as a sole proprietorship for New York tax purposes... Sole proprietorships and partnerships are subject to the personal income tax law, rules, and regulations"

So i'm not aware of any benefit of forming in outside of NY if your "brick and mortar" location will be in New York, as you are still going to pay New York state Income tax.


thank you




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