How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 118753
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
Type Your Business Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

I plan to start a new web service which Ill be offering online.

Resolved Question:

I plan to start a new web service which I'll be offering online. What country I should use for incorporation in order to minimize taxes? I'm a US citizen and I'm also citizen of Russia.
Submitted: 6 years ago.
Category: Business Law
Expert:  Law Educator, Esq. replied 6 years ago.
Incorporating in Russia could save you some legal liability in case of any litigation against the site, but other than that, profits of web services are pretty tough to really prove and as such your tax liabilities would likely be pretty low in either country and the ease of operation in the US, especially in Nevada or Wyoming for your corporation or LLC, would probably be best for you.

I hope you found my answer helpful, please click on the GREEN ACCEPT button above for my answer. This is necessary for me to be paid for my work and so that I can get credit for assisting you. Your question will not close, and you will still have the opportunity to follow-up if needed. Leaving a bonus and positive feedback is not required, but doing so is certainly appreciated!

If you have additional questions, please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous.

There can also be a delay of an hour or more in between my answers because I may be helping other customers or taking a break.

You can always request me through my profile at or beginning your question with “For PaulMJD…”

Customer: replied 6 years ago.
Please explain why "tax liabilities would likely be pretty low"? I currently own an S-corporation in Florida and I pay standard personal income tax rate and paycheck taxes, which is total around 30% of the company's profit. For my new web project I'd like to establish another company to save on taxes. I personally don't think that US or Russia are among best choices for this.
Expert:  Law Educator, Esq. replied 6 years ago.
I said that tax liabilities would be low because it is virtually impossible to track income from web services, so your reported income is going to be tough, if not impossible, to verify. I do not know anything about Russian law (nor does anyone on this site, as we have no Russian law experts). However, if you want the ultimate tax protection, then setting up an LLC in a place like Belize, Panama or Nevis or the Cayman Islands would provide you the best protection for this venture.
Law Educator, Esq. and 5 other Business Law Specialists are ready to help you