For most non-residents, New Mexico ($50 one-time filing, no annual fee) or Wyoming ($102 online filing, $60/year minimum) offer the lowest Year-1 costs. Both keep member names off public records.
One thing your state choice does not decide: which banks and payment platforms accept you. Stripe eligibility follows where the business is registered — any US LLC qualifies, regardless of state. Bank eligibility follows your country of residence, not Wyoming versus Delaware. For the full country-by-country breakdown of Mercury, Wise, Stripe, and PayPal access, see our US bank accounts and payment platforms for non-residents guide.
This page covers what the state choice actually changes: real Year-1 costs, privacy, and your federal filing obligations. Our LLC formation overview covers the full process for non-residents. State fees last verified: 31 May 2026, against official Secretary of State sources.
Quick Answer: Best State for a Non-Resident LLC in 2026
Wyoming and New Mexico are the two strongest choices for non-residents.
Wyoming charges a $102 online filing fee ($100 by mail) and a $60 minimum annual report fee, per the Wyoming Secretary of State (as of 2026). Its name carries stronger recognition with US banks and payment processors.
New Mexico charges a $50 one-time filing fee with no annual report and no ongoing state fee, per the New Mexico Secretary of State (as of 2026). That makes it the lowest Year-1 cost option, with identical federal tax treatment.
If you live in the US, form in your home state instead — otherwise you pay foreign-registration fees on top.
Why Non-Residents Choose a Different State Than US Residents
The foreign-registration problem does not apply to non-residents
Most online advice warns about forming an LLC in one state while living in another — that forces US residents to register as a foreign LLC in their home state, doubling fees and paperwork. Non-residents have no US home state. That double-registration problem simply does not exist for them. A founder in Lagos, Karachi, or Manila forms once, in one state, and stops there.
Privacy, not tax savings, is the real driver for non-residents
“No state income tax” is the most repeated selling point for Wyoming, Nevada, and South Dakota. For non-residents, it is almost irrelevant: a non-resident-owned LLC with no US-source income owes no US state or federal income tax regardless of which state it forms in. What does matter is privacy. Some states publish member names in public records.
Wyoming and New Mexico do not require public disclosure of member names — useful for founders who want ownership kept off searchable databases. Already formed elsewhere? How to Move Your LLC to Wyoming walks through the conversion step by step.
No state eliminates your US federal filing obligations
Choosing Wyoming over Delaware does not remove a single federal requirement. A foreign-owned single-member LLC with reportable transactions must file Form 5472 attached to a pro-forma Form 1120, according to the IRS — regardless of state. A multi-member LLC files Form 1065, due March 15, extendable to September 15.
One common confusion: FBAR (FinCEN Form 114) requires US persons to report foreign financial accounts over $10,000. As a non-resident individual, you are generally not a US person, so you personally do not file FBAR. One nuance most guides miss: your US LLC itself is a US entity — if the LLC holds foreign financial accounts exceeding $10,000, the LLC can have its own FBAR obligation even though you do not.
On BOI: under FinCEN’s interim final rule effective March 26, 2025, US-formed LLCs are fully exempt from Beneficial Ownership Information reporting. Zero filing obligation, zero penalty exposure for domestic entities.
What Non-Residents Should Prioritize When Choosing a State
Annual cost, not just formation cost
The formation fee is only one line in your real budget. Year-1 total — filing fee plus registered agent plus any annual report — is the correct comparison number. A $50 filing in New Mexico with no annual report beats a $102 filing plus a $60 annual minimum elsewhere, once you add the registered agent cost on top.
Banking and payments: decided by your country, not your state
A Wyoming LLC and a New Mexico LLC face identical banking and payment outcomes. Mercury decides by the founder’s country of residence (its prohibited-countries list was last confirmed 31 May 2026); Stripe decides by where the business is registered. Which specific platforms accept founders from India, Pakistan, Nigeria, the UAE, or the Philippines is covered in full in our country-by-country banking and payments matrix.
Privacy: which states publish member names
Wyoming and New Mexico do not require public disclosure of member names. Delaware does not require it either — but carries a $300 flat annual franchise tax. If privacy matters and you want minimal ongoing costs, New Mexico or Wyoming is the stronger choice.
Registered agent requirement in every state
Every US LLC must have a registered agent — a person or service with a physical street address in the formation state. PO boxes are not accepted in any US state. Third-party RA services typically cost $50–$150 per year; this amount belongs in your total cost calculation.
One overlooked failure point: the IRS Form SS-4 “Responsible Party” field must name a natural person, not an entity, since 2018. Listing another LLC in that field is the leading cause of EIN rejection for non-residents forming multiple LLCs.
Total Year-1 Cost Table: Wyoming vs Delaware vs New Mexico vs Nevada vs Florida
No competitor — including doola, ZenBusiness, Northwest Registered Agent, Bizee, or Firstbase — publishes a complete Year-1 cost including the registered agent. This table does.
| State | Formation Fee | First Annual Fee | Registered Agent | Year-1 Total |
|---|---|---|---|---|
| Wyoming | $102 online | $60 minimum | $50–$150 | $212–$312 |
| Delaware | $90 | $300 franchise tax | $50–$150 | $440–$540 |
| New Mexico | $50 | $0 | $50–$150 | $100–$200 |
| Nevada | $425 | $350 | $50–$150 | $825–$925 |
| Florida | $125 | $138.75 | $50–$150 | $313.75–$413.75 |
Last verified: 31 May 2026. State fees per official Secretary of State sources. Wyoming’s online filing is $102 ($100 by mail). Registered agent market range: $50–$150/year.
Warning — Delaware hidden cost: Delaware’s $300 annual franchise tax applies every year, regardless of revenue or activity, per corp.delaware.gov. Many services that recommend Delaware for non-residents omit this. It is not a one-time fee.
Nevada is the most expensive commonly recommended state. Per the Nevada Secretary of State, forming costs $425 in Year 1 alone ($75 Articles + $150 Initial List + $200 state business license), with $350 per year ongoing. Nevada does not eliminate a single federal filing obligation for that money.
How to File an LLC as a Non-Resident: Step-by-Step
Step 1: Choose your state
Select on total Year-1 cost, privacy, and your plans. Wyoming ($102 online, $60 annual minimum) and New Mexico ($50, no annual fee) work best for most non-residents. Delaware ($90 filing, $300 annual franchise tax) makes sense only if you plan to raise US venture capital.
Step 2: Appoint a registered agent
Every US LLC needs a registered agent — a US-based person or company with a physical street address in your formation state that receives legal documents on your behalf. Budget $50–$150 per year.
Step 3: File your Articles of Organization
File directly with the state. Fees: New Mexico $50, Wyoming $102 online, Delaware $90, Florida $125, Nevada $425 total. New Mexico has no annual report. If Florida’s mix of low formation cost and strong banking infrastructure appeals to you, How to Form an LLC in Florida covers the full filing process for non-residents.
Step 4: Obtain your EIN from the IRS
An EIN (your US business tax ID) is free directly from the IRS. Non-residents without a Social Security Number cannot use the online application. Three options:
– Fax Form SS-4 with a return fax number: approximately 4 business days
– Mail Form SS-4: approximately 4 weeks
– Phone (267-941-1099, Mon–Fri 6 a.m.–11 p.m. ET): EIN issued during the call, but congestion and disconnects are common — fax is more reliable
An ITIN is NOT required to form an LLC or get an EIN. Formation services charge only for the labor of obtaining your EIN — the IRS charges nothing.
Step 5: Open a US business bank account
Which account you can open depends on your country of residence, not your state. Mercury accepts some countries and prohibits others; Wise Business is the primary route where Mercury declines, subject to enhanced KYC (approval is not guaranteed, and Wise may require an official IRS EIN document — CP575, 147C, or stamped SS-4 — not just the number). The complete per-country picture, including Stripe and PayPal, is in the banking and payments matrix linked above.
Step 6: Meet annual compliance obligations
Zero US tax does not mean zero filing. Per the IRS:
– Single-member LLC: Form 5472 attached to a pro-forma Form 1120 if reportable transactions exist. Failure to file carries a $25,000 penalty per form per year under IRC Section 6038A, with no cap after 90 days.
– Multi-member LLC: Form 1065 plus a Schedule K-1 per partner, due March 15, extendable to September 15.
Capital contributions and distributions between you and your LLC count as reportable transactions. Many founders miss this.
What Most State Comparison Guides Don’t Tell You
Most guides pick a winner on filing fees alone. The real differences are smaller — and some popular claims are simply wrong.
New Mexico: lowest cost, identical Stripe and banking access
New Mexico’s zero annual report is a genuine, permanent cost advantage. But some guides imply it affects your banking or payment options — it does not. Stripe eligibility follows where the business is registered; Mercury decides by founder country. No state gives you better platform access than another.
Delaware: investor credibility has a real annual cost
Delaware’s $300 franchise tax recurs every year whether or not your LLC earns a dollar. Its investor reputation matters only if you plan to raise US venture capital. Most non-resident founders running online businesses never need it.
Nevada: high fees, limited upside for non-residents
Guides often claim Nevada “does not share data with the IRS.” That is misleading. Federal obligations — Form 5472, Form 1065 — apply regardless of state. Nevada’s $425 formation and $350/year buy you no federal advantage at all.
Non-residents cannot elect S-corp status in any state
An S-corporation requires all shareholders to be US persons, per the IRS. Non-resident owners cannot make this election in any state. Your options are default pass-through treatment (disregarded entity or partnership) or a C-corp election. No state changes this rule.
Frequently Asked Questions
Does the state I choose affect my Stripe or Mercury access as a non-resident?
No. Stripe eligibility depends on the country where the business is registered — the US — not the state. Mercury eligibility depends on the founder’s country of residence. A Wyoming LLC and a Delaware LLC give identical access. See our banking and payments by country guide for the platform-by-platform breakdown.
Do I need to file a BOI report for my US LLC as a non-resident owner?
No. Under FinCEN’s interim final rule effective March 26, 2025, US-formed LLCs are exempt from Beneficial Ownership Information reporting. Only entities formed under foreign law and registered to do business in a US state must file. Verify current status at fincen.gov before assuming the exemption applies.
What is the difference between an EIN and an ITIN, and which do I need first?
An EIN is the LLC’s 9-digit federal tax ID, required for US banking and Stripe. An ITIN is your personal tax ID as the owner. An ITIN is not required to form an LLC or obtain an EIN, but may be needed later to file a US personal return (Form 1040-NR).
How long does it take to get an EIN as a non-resident without an SSN?
Faxing Form SS-4 with a return fax number takes approximately 4 business days. Mailing takes approximately 4 weeks. The IRS international phone line can issue an EIN during the call, but congestion and disconnects are common — fax is the more reliable path. An EIN is free directly from the IRS.
Does New Mexico’s lack of an annual report mean lower banking credibility?
No. Banks and payment processors decide at the federal and platform level. A New Mexico LLC has identical access to a Wyoming or Delaware LLC. Skipping the annual report reduces your ongoing costs — it does not signal lower legitimacy.
What tax forms does a non-resident-owned single-member LLC need to file?
Form 5472 attached to a pro-forma Form 1120, annually, if reportable transactions exist — including capital contributions and distributions. Failure to file carries a $25,000 penalty per form per year under IRC Section 6038A. Zero US tax does not mean zero filing.
Can I elect S-corp status for my US LLC as a non-resident owner?
No. S-corp status requires all shareholders to be US persons. Non-residents are limited to default pass-through treatment or a C-corp election, in every state.
Is Wyoming or New Mexico better for a non-resident with no US income?
New Mexico has the lower Year-1 cost: $50 to form, no annual fee. Wyoming costs $102 online plus a $60 minimum annual report. Both offer member privacy and identical federal treatment. Federal information filings (Form 5472 or Form 1065) still apply in either state.
What is FBAR and does it apply to me as a non-resident owning a US LLC?
FBAR (FinCEN Form 114) requires US persons to report foreign financial accounts over $10,000. As a non-resident individual you are generally not a US person, so you personally do not file FBAR. But the LLC itself is a US entity — if the LLC holds foreign accounts exceeding $10,000, the LLC can have its own FBAR obligation. FBAR is separate from BOI reporting, which US-formed LLCs are currently exempt from.
Should I choose Wyoming or South Dakota for a non-resident LLC?
Wyoming is the stronger choice. Wyoming charges $102 online to form and $60 per year minimum. South Dakota charges $150 to form and $50 per year. Both offer privacy and no state income tax, but Wyoming has broader name recognition with US banks and payment processors.
Conclusion
For most non-residents, New Mexico wins on Year-1 cost: $50 to form, no annual fee, no franchise tax. Wyoming ($102 online, $60/year minimum) is the stronger choice if bank recognition matters to you. State choice does not affect Stripe or bank eligibility — those follow your country, not your state. And federal filing obligations follow you everywhere: zero tax does not mean zero filing.
Bizstartz forms US LLCs for non-residents in Wyoming, Delaware, or New Mexico. The Basic plan starts at $199 + state fees; the Pro plan ($299 + state fees) includes EIN filing via Form SS-4 on your behalf. No SSN, US address, or travel required.
This article is for informational purposes only and is not legal or tax advice. Rules and fees change; verify with the official source or consult a licensed CPA or attorney for your specific situation.
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