May 9, 2012 by Meghan Cole
An article from the New York Times (www.nytimes.com) recently reported how Apple sidestepped billions of dollars in taxes by setting up an office in Reno, NV.Â Â Key to any savvy incorporated business owner’s tax strategy, Apple has done something central to its corporate structure andÂ avoided millions of dollars in taxes in California and 20 other states by establishing an office in Nevada instead of their Cupertino,CA headquarters.
The reason is simple: California has aÂ corporate tax rateÂ of 8.84 percent and Nevada’s is 0%. Really for anyone in business, this is a no-brainer. And setting up an office in Reno is just one of many legal methods Apple uses to reduce its worldwide tax bill by billions of dollars each year.
While many states are imposing stronger restrictions and additional taxes on small business, Nevada has once again devoted their legislative session to building a solid foundation for business by passing stronger laws protecting the rights of business owners.
Why incorporate in Nevada? In 2010, 56,000 new companies were formed inNevada and 60% of those business owners do not live in the state.
Nevada has also been continually ranked â€œNumber 1â€ as a place to do business because the state offers some of the most aggressive pro-business legislation in the country.
Nevada provides a favorable business climate, low taxes, and in the last 32 years the NV legislature have done nothing but make those laws stronger over time. Examples include:
- Nevada shareholders are not a matter of public record
- Nevada officers and directors cannot be held liable for the actions of the corporation
- Nevada has no corporate tax
As a premier Nevada incorporation services provider, Laughlin Associates has been forming Nevada Corporations and Limited Liability Companies for the last 40 years. When you form a Nevada corporation with Laughlin Associates we include a complete corporate kit, a complimentary one-on-one consultation, and unlimited strategy and structure advice for your incorporated company.
At Laughlin Associates, we work closely with the Nevada Legislature to keepNevada a pro-business state. Just a short half hour drive from theNevada capital, we make sure to keep a pulse on the local government and keep our clients informed of the latest news regarding small business owners.
If you have questions about how you can take advantage of a Nevada tax strategy for your business, contact one of our highly qualified business consultants at 1-800-648-0966.
*Thank you to www.nytimes.com for some of this information. To read the full article on how Apples uses Nevada as part of their tax strategy please click here.