New Federal Requirement: Starting January 1, 2024, most business entities in the US will need to report Beneficial Ownership Information.
I am a Turkish citizen working for a software company here in Maine. I have neither Green Card nor US citizenship as I work on H1B. I will be moving back to Turkey at the end of this month and continue working remotely for the same company as now. My employer said I won’t be on their payroll anymore but I need to start up my own business to send bills to them.
I already have a checking and savings account here and can open a business checking account too if I want to start up an LLC in Maine.
What are my options as far as working remotely from Turkey and billing my employer using my LLC? Is this legal? Am I going to pay taxes and is it going to be based W8-BEN and 30% tax rate? Any other fees that I will need to pay?
Thanks!
Anil,
Technically you can own an LLC being a Turkish citizen living in Turkey. In fact you don’t even need to form an LLC in Maine, your LLC can be in any state (since all your services are provided remotely).
Once your LLC is established you should open a bank account for it, to separate your business funds from the personal ones. This is where you will deposit the payments made by your employer, and then you can distribute the profits from that bank account to your personal bank account.
As far as billing your employer goes, you would do it as any other service provider would, and the employer would make the payments to your LLC. Since LLC is a pass through entity you would then be able to distribute the profits of the LLC to yourself personally without paying any taxes on the company level and only paying personal income taxes on those distributions (but you still need to file separate tax return for the LLC).
For better understanding on how your personal taxed would be calculated I would recommend you to consult with a CPA.
(a) You made a typo in the card number, CCV code, expiration date, name or address;
(b) Your card balance is too low;
(c) Issuing bank has declined this transaction for some other reason related to your account.
