[US Corporation] Incorporation in the USA for free

Incorporation in the USA for free

ZenBusiness will help you form your business in the USA for free. You just pay the state filing fee. ZenBusiness leverages technology to create a more efficient filing process, and ZenBusiness passes the savings on to its customers. ZenBusiness helps you get what you need for your company. Please note that this service does not include opening a bank account so that an owner of the business might be required to visit the bank in the USA to open it.

Where to incorporate

Available in Almost all States (may require the US address)

Fee(Selective)

* LLC or Corporation Business Filing Free

* IRS Tax ID Employer Identification Number (EIN) $50
* Registered Agent Service $10/month
* Worry Free Guarantee $10/month
* Operating Agreement $50
* Corporate bylaws $50
* Annual Reports $75
* Good Standing Certificate $75
* Note: not include opening a bank account.

Procedure

(1) Application

(2) Incorporation

Platform/Source

ZenBusiness

State fee map for LLC formation

State fee map for corporation formation

(Source: ZenBusiness, 2017)

US Tax Accounting after incorporation in the USA

(1) Federal tax

Category	Tax	Details
Federal Corporate Income Tax	Federal Corporate Income Tax	All businesses must file an annual federal income tax return. The C-Corporation tax rate is the flat rate 21% for 2018 (By comparison, the federal personal income tax rate varies from 10% to 37% for 2018.) Generally, the C-Corporation must file its income tax return by the 15th day of the 4th month after the end of its tax year (April 15th).
Federal Employment Taxes	Federal withholding income and FICA tax	1) Reporting withholding income and FICA tax Generally, employers must report all compensations paid to an employee by filing the required form(s) to the IRS. You must also report taxes you deposit by filing Forms 941, 944, and 945 on paper or through e-file. The withholding tax rate varies depending on a filing status and the FICA (social security and Medicare taxes) tax rate is each 7.65% for an employer and an employee for 2018. l Form 941, Employer's Quarterly Federal Tax Return l Form 944, Employer’s Annual Federal Tax Return if received written notification about the Form 944 program l Form 945, Annual Return of Withheld Federal Income Tax if you are filing to report backup withholding. 2) Depositing withholding income and FICA tax In general, you must deposit federal income tax withheld, and both the employer and employee FICA taxes if you’re required to file the forms and your employment tax liability for the preceding quarter or current quarter is $2,500 or more. (Exception: $100,000 Next-Day Deposit Rule). There are two deposit schedules, monthly and semi-weekly depending on $50,000 threshold during the lookback period.
	FUTA tax	1) Reporting FUTA tax Only the employer pays FUTA taxes (federal unemployment taxes); it is not withheld from the employee's wages. You must file Form 940 for the current year if you pay the wages you pay employees who aren't household or agricultural employees and you paid wages of $1,500 or more to employees in any calendar quarter during the prior year or the current year, or you had one or more employees for at least some part of a day in any 20 or more different weeks in the prior year or 20 or more different weeks in the current year. Generally, you're entitled to the maximum credit 5.4% for FUTA if you paid your SUTA taxes (state unemployment taxes) in full on time, and the state isn't determined to be a credit reduction state. l Form 940, Employer’s Annual Federal Unemployment Tax Return 2) Depositing FUTA tax Although Form 940 covers a calendar year, you may have to deposit your FUTA tax before you file your return. If your FUTA tax liability is more than accumulated $500 for the calendar year, you must deposit quarterly.

Federal Report due dates

Report due dates	Paper	Electronically
1/31	Form 940, 941, 943, 944, 945, W-3, W-2, 1096, 1099 with box 7	Form 940, 941, 943, 944, 945, W-3, W-2, 1096, 1099 with box 7
2/28	Form 1096, 1099 without box 7, 8027
3/31		Form 1096, 1099 without box 7, 8027
4/30	Form 941	Form 941
7/31	Form 941	Form 941
10/31	Form 941	Form 941

Federal Deposit due dates

Deposit due dates	Quarterly Depositor	Monthly Depositor	Semi-Weekly Depositor
1/15		Form 941, 944, 945	Form 941, 944, 945 (1) Pay on Wednesday, Thursday, and/or Friday → Deposit until the following Wednesday (2) Pay on Saturday, Sunday, Monday, and/or Tuesday → Deposit until the following Friday
1/31	Form 940 if >$500
2/15		Form 941, 944, 945
3/15		Form 941, 944, 945
4/15		Form 941, 944, 945
4/30	Form 940 if >$500
5/15		Form 941, 944, 945
6/15		Form 941, 944, 945
7/15		Form 941, 944, 945
7/31	Form 940 if >$500
8/15		Form 941, 944, 945
9/15		Form 941, 944, 945
10/15		Form 941, 944, 945
10/31	Form 940 if >$500
11/15		Form 941, 944, 945
12/15		Form 941, 944, 945

* Must use Electronic Federal Tax Payment System (EFTPS)

(2) State tax: The state tax accounting obligation varies depending on the state where your business is incorporated.

The following tax information is for your reference, and is not legally binding.

Source: ZenBusiness, IRS