Nonresident Tax Issues

State Income Tax - Unusual Category - Wyoming

Asked Monday, April 13, 2026 by Nathan

I would like to move my business to Wyoming (from another state) but in doing so will I be able to enjoy the tax advantages of no state tax in Wyoming, since Wyoming is not my state of residency? My business is a 2-member LLC with tax filing as an S-Corp, which means it passes through. However, will I send myself a W-2 from Wyoming (the location of the business) or my state of residency? Also, my work products are not tangible work. It is all consulting, virtually or in person domestically.

Quick Answer:

Moving your S-Corp LLC to Wyoming can offer some advantages for the entity itself, as Wyoming has no state corporate or individual income tax. However, since your business is an S-Corp and

Nonresident Tax Issues

EIN and FORMS

Asked Friday, April 10, 2026 by CHAO

My company is a non-U.S. resident, single-member LLC registered in 2025. It has no business operations, no physical presence, no employees, and has not applied for an EIN number. Therefore, I cannot file Forms 5472 and 1120, nor can I file Form 7004. What should I do?

Quick Answer:

Your understanding regarding the inability to file without an EIN is correct. However, for a non-U.S. resident, single-member LLC, there are specific requirements you need to be aware of:

Nonresident Tax Issues

nonresident

Asked Wednesday, March 18, 2026 by Akram

I would prefer to communicate by email if that is okay with you. I will file as a California nonresident for 2025. I was outside the U.S. all year and performed no work in California. I received: W-2 sick/vacation/holiday wages from a CA employer W-2 short-term disability from a NY insurer, with premiums paid by the CA employer (while I was working in CA) Bank interest from an online account Are any of these considered California-source income and taxable by CA for a nonresident?

Quick Answer:

For a California nonresident, the sourcing of income depends on where the underlying economic activity or services occurred. 1. **W-2 sick/vacation/holiday wages from a CA employer:** These

Nonresident Tax Issues

Taxes listed an earned in another state

Asked Friday, March 06, 2026 by Amanda

I worked remote in de. My co. Listed me as working in n.c. for about a week (less than 2 k). I received tax documents for n.c and de (where I live and work). I was in n.c. for 3 days for an all hands meeting. Should I file in n.c.?

Quick Answer:

Based on the information provided, if you were physically present in North Carolina for 3 days for work-related activities and earned income during that time, that income is generally considered North...

Nonresident Tax Issues

Which State Do We Pay

Asked Friday, February 27, 2026 by Shelley

I have a business in one state and 1 employee who lives and does their job in another state (works remotely for us). Do we pay the state withholding and state unemployment to the state where we are located for that employee or do we pay the state where the employee lives and performs their work?

Quick Answer:

For state income tax withholding, you generally pay to the state where the employee performs their work. Since your employee lives and works entirely in the second state, you would typically withhold...

Nonresident Tax Issues

Applying for ITIN

Asked Wednesday, January 21, 2026 by Haider

Hello, I am reaching out to seek information about ITIN registration. We have an LLC registered in Wyoming and want to apply for ITIN. Can you please share the details about the process, timeline and costs associated with this. Thanks

Quick Answer:

An Individual Taxpayer Identification Number (ITIN) is issued by the IRS to individuals who need a U.S. taxpayer identification number but do not have, and are not eligible to obtain, a Social Securit...

Nonresident Tax Issues

Gift taxation foreign person

Asked Thursday, December 18, 2025 by Sandra

Non-US citizen and non-US resident (nonresident alien) with a US bank account want to gift a total of up to $100,000 in cash this year to 2 children who are US citizens and US residents. The gifts will be wire transfers or checks from their US bank account. Questions: Is this gift subject to US gift tax for me (the donor)? Is the gift considered taxable income to my children (the recipients)? Is it up to 100k per year with no reporting filing 3520?

Quick Answer:

As a nonresident alien, your gift of cash, whether from a U.S. bank account or wired, is generally not subject to U.S. gift tax. Cash is considered intangible property and is

Nonresident Tax Issues

Federal taxes

Asked Thursday, September 18, 2025 by Simo

I opened a company in Wyoming last year Eternia Solutions LLC as a sole proprietorship (single-member LLC disregarded for tax purposes). I was told that there is no state tax in Wyoming, but I want to confirm how federal taxes work in my situation. I am not resident of USA. This year my company’s revenue will be about $32,855. I have withdraw ~$9,780 via ATM, and probably i will withdraw the rest. I heard that there are some federal taxes, even WY is tax free. I need clarification about this?

CPA Answer:

Hi Simo,


Hope you're doing well.


Whether federal tax applies depends on whether the income earned by your Wyoming LLC is treated as effectively connected income (ECI) with the United States. If the activity is considered ECI, federal tax would generally apply and a Form 1040-NR filing would be required. If it is not ECI, the U.S. may still have other reporting requirements depending on the nature of the income and where the services are performed, but federal income tax may not be triggered.


Let me know if you’d like a detailed review of your specific situation.

Regards,

Alfaisal

CPAdirectory
Answer Provided by: CPAdirectory

Nonresident Tax Issues

Rental income tax for foreign property buyer

Asked Saturday, September 14, 2024 by Laura

Hi, we are non US residents and considering buying an investment property in Florida. Would like to get some advice on the tax implications if we rent it out and annual tax preparation matters. Thank you.

CPA Answer:

Hi Laura-

This is not a simple question but I will give you the basics. However, I recommend that you get further advice beyond here. In general, if you have a rental property in the US, you will need to file as a non-resident. Florida does not have a state income tax but you would need to research whether they have any Franchise Taxes or Lodging Taxes that your property would be subject to. Hope this is helpful. Jackie

Answer Provided by: Jackie Compton Jackie Compton