Learn about Corporate Taxation in the United States: Updated Guide 2025

Logic Accounting June 11, 2025

Expanding your business to the United States is a strategic step for many Brazilian entrepreneurs. The country offers a stable economic environment, more streamlined processes, a strong currency, and opportunities for global growth. But to do so, it's essential to understand how it works. corporate taxation in the US — and that's exactly what we're going to explain in this article.

How does taxation work for businesses in the US?

In the United States, the tax burden is divided between federal, state, and sales taxes. Here's how each one works:

1. Federal Income Tax – Federal Tax

This is the income tax applied to Corporation-type companies, with a single tax rate of 21%.
In the case of profit distribution, the tax is also levied on shareholders, based on the federal progressive tax table.

➡️ Important: Companies of the type LLC (Limited Liability Company) These are "disregarded entities" for federal tax purposes. In this case, Profits are taxed directly on the partners., Not at the company.

2. State Income Tax

Each state has different rules — and some don't even charge this tax.

🔹 Example:

Florida: 4.5% per year, with an exemption on the first US$$ 50 thousand of profit.
California: It varies from 4% to 9%, depending on revenue.

Therefore, it is essential to choose the state strategically, with the support of specialized accounting advice.

3. Sales Tax

This tax is applied to the sale of products and is transferred to the state.

📌 Example: If a product costs US$ 100 and the state's Sales Tax is 5%, the customer pays US$ 105. The company must then pass on the US$ 5 to the state government.

⚠️ Important: This amount is withheld monthly and must be calculated and declared by an accountant with experience in the US.

📌 Logic Assessoria offers all the necessary tax and accounting support for your company to operate safely.

💸 Taxation on Cash and Assets

If you open a subsidiary in the USA, There is also a charge for:

15,5% regarding cash balances
8% Regarding illiquid assets (equipment, real estate, etc.)

How does the legislation work for opening a business in the USA?

Legislation varies by state, but in general, companies domestic Companies (created in the US) pay taxes on their total income. Companies, on the other hand, foreigners They are taxed only on:

Passive income earned in the USA
Transactions and business deals carried out within the country.

Types of Companies Allowed in the USA

Sole Proprietorship (SP): A single person responsible
General Partnership (GP): Two or more partners with joint obligations
Limited Partnership (LP): Partnership with distinct responsibilities
Joint Venture (JV): Partnership with a fixed term
Corporation: With share capital divided into shares.
Limited Liability Company (LLC): Limited liability of partners
Limited Liability Partnership (LLP): Widely used by Brazilians; allows foreign partners and a flexible structure.

👉 An LLP is one of the most recommended structures for foreigners, but some states apply restrictions — therefore, it is essential to have specialized advice.

Who can open a business in the United States?

Anyone can open a business in the USA. The following are required:

Valid identification document (such as a passport)
Business address in the USA
American bank account

📌 Other requirements may vary by state. Our team can guide you through each step!

Summary: What is taxation like in the USA?

Federal Income Tax: 21% about Corporation companies
State Income Tax: It varies by state (some have a zero tax rate).
Sales Tax: charged to the consumer and passed on monthly.
LLC: Taxable profit is applied only to the partners, not the company.

Count on Logic to open your company in the USA!

In Logic Business Consulting, We offer comprehensive accounting, tax, and legal support to help you open and operate your business in the United States safely and strategically.

✔ International tax planning
✔ Company opening
✔ Accounting and tax management
✔ Full support in Brazil and the USA

📲 Speak to our team now and start internationalizing your company with those who understand.

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