Forming a Delaware LLC for Korean E-commerce Sellers
Korean e-commerce sellers can incorporate a Delaware LLC to access US payment gateways and marketplaces. This structure allows for pass-through taxation while requiring compliance with both US federal tax filings and Korean National Tax Service reporting.
Registration requires a registered agent in Delaware and an Employer Identification Number (EIN) for banking access. Founders must maintain accurate records to satisfy US reporting requirements and treaty-based tax obligations.
Model the full outlay, not just the setup fee
- Setupdoola setup$297.00
- AnnualYear 2 renewal$297.00
What the tax authority sees
Delaware LLCs are pass-through entities for US federal tax purposes, subject to a $300 annual franchise tax and potential US-source income tax reporting.
National Tax Service; foreign-source income reporting per Income Tax Act Article 3; Korea has US tax treaty (10% treaty rate for royalties).
Use the US-Korea tax treaty to claim a 10% reduced withholding rate on royalties and dividends to avoid double taxation with the National Tax Service.
- 01Form 5472 and 1120 penalty $25,000 for non-filing
- 02FBAR reporting required for foreign bank accounts
- 03Korean Income Tax Act Article 3 foreign-source income reporting
From filing to funded bank account
US LLC (Delaware) vs Estonia OÜ (e-Residency)
FAQ
Start filing with doola
Formation typically completes in 2–3 weeks. Use the promo below, then click through to begin the checklist directly on the platform.