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A single member LLC, where the sole member is a foreign person for U.S. tax purposes (meaning he or she is not a US citizen, does not have a U.S. green card or who does not reside in the US. for more than a month or so each year)? ... The LLC is ignored for U.S. and most states income tax purposes.
This aplies only to SINGLE member LLC's
Hence, any income earned is treated as earned directly by the foreign person. Such income is not subject to U.S. taxation so long as the foreign person did not perform his services or sales activity in the U.S. himself or thru an employee or agent.
The foreign person, employee of the foreign person (or agent thereof) must be physically present in the U.S. while earning the income. It is apparent that many, if not most of the single member LLCs are conducted purely over the internet, or completely outside the US in some other manner, with no physical presence in the U.S.
No reporting of the income nor are payments of any taxes required.
To form the Delaware LLC you must basically do the following:
Form a Delaware LLC
You must maintain a Delaware registered agent,
You must pay the state of Delaware an annual fee to keep the LLC in good standing
Hope this helps
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