Forming a Wyoming LLC for Indian Freelance Developers
Indian freelance developers can establish a Wyoming LLC to access US-based payment infrastructure and enterprise clients. This structure provides limited liability protection while maintaining a pass-through tax status for federal purposes.
The process involves state formation, obtaining an EIN from the IRS, and opening a business bank account via Mercury. Compliance with both US IRS reporting and Indian income tax regulations is mandatory.
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
Wyoming LLCs are treated as pass-through entities for federal tax purposes, where members are subject to US federal tax only on income effectively connected with a US trade or business (ETBUS).
Section 44ADA presumptive taxation; foreign-source income rules
Leverage Section 44ADA for your Indian tax filings while ensuring your US LLC activity does not create a Permanent Establishment in India to avoid double taxation.
- 01Form 5472 and 1120 penalty of $25,000 for late filing
- 02Potential classification as a Permanent Establishment in India
- 03FBAR reporting requirements for foreign bank accounts
From filing to funded bank account
US LLC (Wyoming) 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.