Incorporating in Nevada or Delaware - Posted by Anthony Henry

import · May 19, 2000, 10:28am

Posted by Stew(NE) on May 22, 2000 at 11:32:31:

If you talk the seller in to taking back a second, can you tell him that there is a tax advantage to holding the note for a year and then getting it cashed out. For example, if the seller sells to you at 80/20 and holds a note for 20K, Is he taxed as if he sold the house for 100K or 80K? Does he get taxed on the other 20K whenI pay him the ballon payment.

import · May 19, 2000, 10:28am

Posted by Anthony Henry on May 19, 2000 at 10:28:20:

OK I have a quick question, does it matter where I incorporate or not. I was informed Delaware charges no corporate tax, is this true?. What about Nevada. Also what are the charges involved with getting the entity set up so I could do business in NY, flips L/O and an LLC that would handle an internet business. If Mr. Bronchick is out there is this something you can handle Bill??

Thanks for the input guys.

import · May 19, 2000, 4:55pm

Re: Incorporating in Nevada or Delaware - Posted by Bronchick

Posted by Bronchick on May 19, 2000 at 16:55:32:

If you incorporate in NV or DE and do business in NY, then you will have to pay NYS income tax and register as a foreign corp in NY. Thus, incorporating in NV or DE won’t help you. My step-by-step courses are all you need to do it yourself. The filing fees in NY are a bit steep, however.

import · May 19, 2000, 10:47am

Re: Incorporating in Nevada or Delaware - Posted by chris

Posted by chris on May 19, 2000 at 10:47:40:

Anthony- You may want to check out some of the incorporation services for FAQs and costs such as http://www.mycorporation.com/. Another good place for information for you would be your state government at The New York State Department of State
Division of Corporations, State Records,
and Uniform Commercial Code at
http://www.dos.state.ny.us/corp/corpwww.html

-Good Luck,Chris

import · May 20, 2000, 1:27am

Mr. Bronchick, Do you need to register as Foreign Corp??? - Posted by Soraya

Posted by Soraya on May 20, 2000 at 01:27:00:

Do you need to register as Foreign Corp to buy SFD’s and lease option to an Optionee?

There are different opinions among CPA’s that I have talked to in California. Some say you need to register some say you don’t.

Soraya

import · May 19, 2000, 10:56am

Re: Incorporating in Nevada or Delaware - Posted by Anthony Henry

Posted by Anthony Henry on May 19, 2000 at 10:56:48:

Thanks Chris the info is greatly appreciated.

Anthony

import · May 22, 2000, 11:16am

CA, ABSOLUTELY! - Posted by William Bronchick

Posted by William Bronchick on May 22, 2000 at 11:16:05:

CA has the strictest rules about foreign corps. You cannot open a bank account without registering.

The good news is that as of 2000, new corps in CA are free from the $800 franchise tax for the first two years.

import · May 22, 2000, 7:00pm

No tax for the fist year only. - Posted by David(Ca)

Posted by David(Ca) on May 22, 2000 at 19:00:04:

I just got off the phone with the franchise tax board. The way the law reads it sounds like the first two years, but because it is prepaid you end up paying after the first year.

Although I don’t totaly understand the her reasoning, she made it clear that you need to dissolve the corp by the end of the first year to avoid the tax.

Dave