Updated September 2026 · 6 min read · Dasbanq Team

SHORT ANSWER

There is no single best state. If you live outside the U.S. and sell online, Wyoming is usually the simplest: no state income tax, owners are not published at formation and one annual report. Delaware fits startups raising venture capital. Florida fits businesses that operate there or work closely with Latin America.

Your LLC does not have to be where your clients are. Most founders living abroad choose between Wyoming, Delaware and Florida. Each has different rules and annual obligations.

Wyoming vs. Delaware vs. Florida

	Wyoming	Delaware	Florida
Best for	Online services and e-commerce run from abroad	Startups raising venture capital	Businesses operating in Florida
Owners' names at formation	Not required	Not required	Managers' details are usually public
Annual obligation	Annual report on the first day of the anniversary month	Annual LLC tax by June 1, no annual report	Annual report between January 1 and May 1
State income tax	None	Not on the LLC as an entity; Delaware-source income of non-residents is taxed	No personal income tax

Each state charges its own filing and maintenance fees, and they change. Check current amounts on each state's official site.

What stays the same in every state

Federal filings. A foreign single-member LLC files Form 5472 with a pro forma Form 1120 by April 15. The IRS penalty for not filing is USD 25,000.
A registered agent with a physical address in the state.
Taxes in your home country, which do not depend on the state.
BOI reporting no longer applies to LLCs formed in the U.S., under FinCEN's 2026 final rule.

See why form an LLC in the U.S. and common LLC setup mistakes.

Frequently asked questions

What is the best state for an LLC if I don't live in the U.S.?

For most founders selling services or products online from abroad, Wyoming: no state income tax, owners are not published at formation and maintenance is one annual report. Delaware suits startups raising capital; Florida suits businesses operating there.

Do I need to live in the state where I form my LLC?

No. You can form it remotely. You do need a registered agent with a physical address in that state.

DASBANQ STANDARD PLAN

From USD 50 per month

Includes your registered agent, a physical U.S. address and bookkeeping with the filings in the agreed scope, with an account manager. Formation (documents and EIN) is a one-time fee, billed separately. We also handle your U.S. dollar account application; approval is always up to the institution.

Not sure which state fits you?

Dasbanq helps you choose, forms your LLC and handles your EIN. Book a free 30-minute call.

Book a call →

Official sources

This article is for information only and is not legal or tax advice. Content reviewed in September 2026.