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Topic: Any benefits to setting up Anonymous LLC? (Read 210 times)

legendary
Activity: 2968
Merit: 3684
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April 21, 2020, 04:04:24 AM
#7
If someone's interested, I think the closest thing would be na LLC with bearer shares, but the issuance and use of them have been banned or heavily restricted in many countries over the years. An expert should be consulted to assess whether having bearer shares is worth the trouble.

Yes, AFAIK this is still legal even in some countries in Europe (it was in fact discontinued this year in one of the biggest tax havens Netherlands) BUT under new AMLD5 laws are heavily frowned upon and will likely anyway get you in trouble down the line. Basically, the latest edition of the AML directive means that anything that is against the spirit of the law -- even if it's not against the letter of the law --  will be deemed equally wrong. So, while tax avoidance is strictly speaking not illegal, it can result in public exposure, which, is about as damaging as actual tax evasion, just without the fines -- though a dozen EU states have recently rejected that.

The only country left that issues the type of anonymous bearer shares OP is looking for is Marshall Islands. Now you know why they're blacklisted by OECD, and so it's also pointless for you to go down this road, as you're painting a bull's eye on your back if you register in MI.

There's also Panama, but you have to pay a hefty bank fee for holding them (so pointless anyway).
newbie
Activity: 1
Merit: 0
There are general advantages to forming an LLC, though. Owners benefit from the limited liability protection offered by a corporate entity, which helps protects assets in the event of a legal proceeding. Depending on the state, there could be tax advantages, but in others, there are franchise and pass-through entity taxes assessed on LLCs.

As others have commented, LLCs aren't necessarily anonymous. Copies of filed documents are available in public databases either for free or for a nominal fee, including in the state of Wyoming. That said, appointing a corporate registered agent for service of process MyGroundBiz helps protect the business's information. These agents come with a cost, however, so factor that in when deciding to form an LLC.

Apart from that, you generally nail the benefits and drawbacks, but it's best to consult with an attorney and tax professional on advice for what's right for you.

Thank you for sharing article and information. this is very helpful for beginner.
legendary
Activity: 3066
Merit: 1047
Your country may be your worst enemy
The question you shall ask yourself is what's next.
What when the anonymous company wants to transfer funds to an individual? Or a non anonymous business?

Most states or countries which allow anonymous companies are black-listed in the OECD.
legendary
Activity: 3472
Merit: 1722
If someone's interested, I think the closest thing would be na LLC with bearer shares, but the issuance and use of them have been banned or heavily restricted in many countries over the years. An expert should be consulted to assess whether having bearer shares is worth the trouble.
newbie
Activity: 1
Merit: 0
There are general advantages to forming an LLC, though. Owners benefit from the limited liability protection offered by a corporate entity, which helps protects assets in the event of a legal proceeding. Depending on the state, there could be tax advantages, but in others, there are franchise and pass-through entity taxes assessed on LLCs.

As others have commented, LLCs aren't necessarily anonymous. Copies of filed documents are available in public databases either for free or for a nominal fee, including in the state of Wyoming. That said, appointing a corporate registered agent for service of process helps protect the business's information. These agents come with a cost, however, so factor that in when deciding to form an LLC.

Apart from that, you generally nail the benefits and drawbacks, but it's best to consult with an attorney and tax professional on advice for what's right for you.
legendary
Activity: 1666
Merit: 1196
STOP SNITCHIN'
There are some privacy and tax benefits. But they are not really anonymous, so it's better not to think of them that way.

If you need a bank account at any point, you'll need an FEIN. Banks also do KYC. Lines of credit and such require personal information. Even if you don't need banking, executing contracts on behalf of the LLC requires an officer or similar to sign and identify themselves. Beyond all that, your registered agent is always a link back to you. There's no way around that if the court system ever gets involved.

1) Limited liability - not sure what liability I need protection from, but I imagine it could be valuable in the context of smart contracts (i.e. sale of goods or services, and if smart contracts develop further, potentially allowing me to join anonymous general partnerships with limited liability)
2) Tax benefits - option to elect to be taxed as a corporation if my coins rocket in value and I want to sell in less than a year

I can't comment on the smart contract aspect, but there are definitely tax benefits when it comes to trading, assuming you structure things correctly. If you're putting a lot of money and volume in, it's something to consider and discuss with a tax professional.

3) Choice of law - It looks like Wyoming has favorable legislation regarding utility tokens which I could avail myself to by setting up a Wyoming LLC

Wyoming law doesn't override federal securities law, so be careful.
newbie
Activity: 1
Merit: 0
This is my first post.

I just wanted to ask the community if there is any value to setting up an anonymous single member LLC for trading activities or hosting smart contracts?

I was thinking of setting one up named after my public key (Is there any risk doing that?). The potential benefits I imagine include:

1) Limited liability - not sure what liability I need protection from, but I imagine it could be valuable in the context of smart contracts (i.e. sale of goods or services, and if smart contracts develop further, potentially allowing me to join anonymous general partnerships with limited liability)
2) Tax benefits - option to elect to be taxed as a corporation if my coins rocket in value and I want to sell in less than a year
3) Choice of law - It looks like Wyoming has favorable legislation regarding utility tokens which I could avail myself to by setting up a Wyoming LLC
4) Selling membership - If I build a portfolio of cryptocurrencies under the LLC, could I sell a stake in my LLC (assuming I comply with securities laws)?
5) Any other risks or benefits?

Thank you for any feedback


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