Nevada

Overview

Nevada is one of the most popular US state-level corporate domiciles, offering a combination of strong privacy protections, no state income tax, robust LLC statutes, and a well-developed registered agent and corporate services industry. While the state is less institutionally prominent than Delaware for large public companies and venture-backed startups, Nevada occupies a distinct and well-established role for US real estate holding structures, asset protection planning, and non-resident business owners seeking US banking access through a domestic legal entity.

No State Income Tax

Nevada imposes no personal income tax and no corporate income tax at the state level. There is also no franchise tax and no inheritance or estate tax under Nevada state law. This tax position makes Nevada one of a small number of US states — alongside Wyoming, Texas, and Florida — with no state-level income taxation. Federal tax obligations remain fully applicable; LLCs and corporations formed in Nevada must comply with all IRS requirements regardless of their state of formation.

Nevada LLC — Formation and Features

Nevada LLCs are governed by Nevada Revised Statutes Chapter 86, as amended including provisions introduced and updated through Assembly Bill 276 and subsequent legislation. Formation involves filing Articles of Organization with the Nevada Secretary of State, with a current filing fee of approximately $75 for standard processing. Expedited processing (24-hour to same-day) is available for additional fees. A Nevada Registered Agent with a Nevada street address is required; registered agent services are available commercially from approximately $50–$150 per year.

Nevada does not require public disclosure of LLC member or manager names in the Articles of Organization. The required disclosures relate to the registered agent and the organisers; beneficial ownership information remains private in the public record. This privacy protection distinguishes Nevada (along with Wyoming) from states such as California and New York, where greater public disclosure is required. It should be noted, however, that federal beneficial ownership reporting to FinCEN under the Corporate Transparency Act (CTA) applies to Nevada LLCs meeting the relevant thresholds, representing a federal-level disclosure obligation independent of state privacy protections.

Nevada LLCs can be structured as single-member or multi-member. Management may be vested in members (member-managed) or in designated managers (manager-managed), with managers having no requirement to be Nevada residents or US nationals.

Series LLC

Nevada recognises the Series LLC structure, which permits a single master LLC to contain multiple separate series, each with its own assets, liabilities, members, and economic interests. Each series can, if properly maintained, be insulated from the liabilities of other series within the same LLC. This makes the Series LLC particularly attractive for real estate investors holding multiple properties who wish to maintain liability separation without forming separate entities for each asset. Formation and maintenance costs for a Series LLC are materially lower than maintaining equivalent numbers of individual LLCs.

Asset Protection and Charging Order Protection

Nevada's charging order protection statute is among the strongest in the United States. A charging order — the primary remedy available to a judgment creditor against an LLC member's interest — provides only a lien on distributions; it does not entitle the creditor to membership rights, voting rights, or the ability to foreclose on the membership interest itself. Nevada courts have reinforced this protection, and the statute explicitly provides that charging orders are the exclusive remedy against LLC membership interests, preventing creditors from compelling liquidation or accessing undistributed assets.

This combination of charging order protection and privacy makes Nevada LLCs widely used for asset protection planning within domestic US structures.

US Real Estate and Banking Access

Nevada LLCs are commonly used to hold US real estate, whether residential investment property, commercial real estate, or development land. The structure provides liability isolation for each property or portfolio, pass-through taxation at the federal level (single-member LLCs are disregarded entities for federal tax purposes; multi-member LLCs are taxed as partnerships by default), and privacy in state-level public records.

For non-US resident business owners, a Nevada LLC provides a US domestic legal entity through which a US business bank account can be opened, US payment processing can be established, and US commercial contracts can be entered into. Major national banks including Wells Fargo, Bank of America, and Chase, as well as Nevada-based institutions such as Nevada State Bank and Bank of Nevada, provide corporate banking services to Nevada entities with appropriate documentation.

Practical Considerations

Nevada is most suitable for US real estate holding, domestic US asset protection structures, and non-resident entrepreneurs seeking a US entity for operational purposes. Delaware remains the dominant choice for venture-capital-backed companies, large corporations, and entities anticipating institutional investment. For individuals focused primarily on privacy, annual cost efficiency, and LLC asset protection rather than institutional equity financing, Nevada and Wyoming are the leading alternatives to Delaware. Federal tax transparency is complete regardless of state formation — Nevada provides no federal tax benefit over any other US state.