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In South Dakota, corporations file an annual report each year. True to its reputation as an incredibly tax-friendly state, there is no state corporate income tax and no personal income tax. And unless you're a financial institution, there's no corporate franchise tax either.
South Dakota ? The Land of No Taxation: No state income or capital gains tax. One of the lowest state insurance premium taxes. No intangibles tax.
Shareholders are added when they purchase stock in the corporation (providing money or services in exchange for shares in the corporation). The stock sale would be approved by the existing shareholders and may depend on your Corporate Bylaws.
Protection of the Business From Your Personal Creditors. In a majority of states, your personal creditor can get to either your ownership of the business or the assets inside of the business. South Dakota, on the other hand, severely limits what a personal creditor is able to receive of your business.
South Dakota doesn't tax personal income, capital gains, or corporate income. Crime rates are low, and energy costs are relatively inexpensive. Among South Dakota's many attractive qualities, the state's reasonable regulations and its balanced budget make South Dakota an attractive start-up proposition.
What's the difference between shareholders and directors? Shareholders are essentially the owners of a company, while the directors are a person or group who make and approve high-level decisions on the company's behalf.
Pros of living in South Dakota. No state income tax. Beautiful natural landscapes. Friendly and welcoming residents. Outdoor recreational opportunities. Cons of living in South Dakota. Harsh winters with cold temperatures. Limited job opportunities.
How do you dissolve/terminate a South Dakota Limited Liability Company? To dissolve/terminate your domestic LLC in South Dakota, you must submit the completed Articles of Termination form to the South Dakota Secretary of State by mail or in person and in duplicate along with the filing fee.