New Mexico LLC Formation for Japanese SaaS Founders
New Mexico offers a streamlined incorporation process for non-US residents with no annual report requirements. This structure allows Japanese SaaS founders to establish a US legal presence while maintaining operational flexibility.
Founders must manage US federal tax obligations alongside Japanese National Tax Agency reporting requirements for foreign subsidiaries.
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, subject to US-source income taxation under IRC Section 871 or 881 if not ETBUS.
National Tax Agency treats worldwide income; foreign subsidiaries reportable under CFC rules (Anti-Tax Haven Rules, Act on Special Measures Concerning Taxation).
New Mexico is ideal for privacy-focused SaaS founders, but ensure your Japanese entity complies with the Act on Special Measures Concerning Taxation regarding CFC rules.
- 01Form 5472 and 1120 penalty $25,000 for non-filing
- 02Japanese CFC rules require reporting of undistributed foreign income
- 03Potential double taxation if US-source income is not properly offset
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.