Incorporating a New Mexico LLC for Indian Freelance Developers
New Mexico offers a streamlined incorporation process for non-resident founders with no state-level annual reporting requirements. Indian freelance developers can utilize this structure to engage with global clients while maintaining compliance with US federal tax obligations.
Mercury provides the necessary banking infrastructure for US-based LLCs once the EIN is obtained. Founders must manage both US federal tax filings and Indian income tax reporting under Section 44ADA.
Model the full outlay, not just the setup fee
- SetupMercury (banking-only) setup$0.00
- AnnualYear 2 renewal$0.00
What the tax authority sees
New Mexico LLCs are treated as pass-through entities for federal tax purposes, requiring compliance with IRS Form 5472 and 1120 for foreign-owned single-member LLCs.
Section 44ADA presumptive taxation; foreign-source income rules
Use New Mexico for low maintenance, but ensure you maintain a US-based Registered Agent and strictly separate business/personal finances to avoid commingling risks.
- 01Form 5472/1120 penalty of $25,000 for late or incomplete filing
- 02Section 44ADA eligibility requires careful classification of foreign-source income
- 03Mercury banking access requires valid EIN and proof of business activity
From filing to funded bank account
US LLC (New Mexico) vs Estonia OÜ (e-Residency)
FAQ
Start filing with Mercury (banking-only)
Formation typically completes in 2–3 weeks. Use the promo below, then click through to begin the checklist directly on the platform.