Should I set up an LLC and get a tax id number so all of my online earnings are paid to the LLC? Does it matter what state I incorporate in..I always hear that Nevada and Delaware are LLC friendly. Any tips or suggestions or things to be aware of? I live in California if that makes a difference.
If its likely that you gonna get sued for any reason, you may wanna do it. Otherwise leave it. I don't know if you can register in a state other then your residence, you might have to need to provide a business address.
You can incorporate or form an LLC in Delaware even if your business doesn't operate there, and incorporating in Delaware provides options not offered in other states. This site gives some good information on forming a Delaware LLC or corporation: thedelawarecompany.com. Check it out; I hope it's useful!
Yes you should if you're earning around $5k/month online If you're earning below it,its not worth while to paying tax for it. Yes you can incorporate your company at other state than your living place.
How about the tax ? How much will LLC be levied yearly ? I am also interested to know some information on setting up LLC .
LLC is a pass through entity, which means that you pay the LLC's income as your personal income. IMO, LLC's are only worth it if you are paying taxes on your money, and want to write off your losses. You can always start an LLC, but not report income you don't think the government will find out about. The tax rates are set like the speed limits, the government says it wants %35 hoping it will get %30, because if it wanted %30, it would get %25.