How Taxes Work in the United States (By State)

Understand the tax differences between US states before opening your business.

Introduction

Did you know that the taxes in the United States Do taxes vary significantly between states? While some places offer tax incentives and reduced rates, others have stricter tax systems—and this can directly impact... success of your international company.

In this article, Logic explains clearly and objectively how the main taxes work in the USA and which states may be more advantageous for those who wish to do business outside of Brazil.

Understanding the Types of Taxes in the USA

Unlike Brazil, the American tax system is... divided between the federal, state, and, in some cases, municipal levels..

1. Federal Income Tax

• It is mandatory for individuals and legal entities throughout the country.

• The tax rate for companies (C-Corps) is... 21%.

• LLC-type companies, on the other hand, have a different tax structure, generally passing the tax directly to the partners (pass-through).

2. State Income Tax

• Not all states levy state income tax.

• Some states, such as Texas, Florida, and Nevada, They are known as not charging that tax.

3. Sales Tax

• Equivalent to our ICMS (Brazilian sales tax), it varies. from 0% to 10% depending on the state and even the city.

• Important for companies that sell physical products.

4. Property Tax

• Charged by counties and municipalities on commercial or residential properties.

• States like New Jersey and Illinois have higher property tax rates.

  Comparison between States – What to Consider

  State	Income Tax	Sales Tax	Emphasis
  Florida	0%	6%	State income tax exemption, good for businesses.
  Texas	0%	6,25%	Good for those seeking a light tax burden.
  California	up to 13.3%	7,25%	High state tax burden
  Delaware	up to 6.6%	0%	No sales tax — good for e-commerce.
  New York	up to 8.8%	4%	High taxation, but an excellent market.
  Nevada	0%	6,85%	A favorable environment for new businesses.

  Warning: Even without revenue, there are obligations.

  Many Brazilian business owners believe that if there is no profit or sales, There is nothing to declare.. That's a serious mistake.
  In the US, companies still need to meet requirements such as:

  • Annual declarations (even when inactive)

  • State maintenance fees

  • Registration updates and local licenses

  How Logic Can Help You

  With specialized expertise in internationalization of companies, Logic offers full support for Brazilians who wish to:

  ✔ Open a company in the USA with legal security
  ✔ Choosing the best state for your tax situation
  ✔ Fulfill all tax obligations without errors.
  ✔ Grow with planning, accounting, and strategy.

  Talk to Logic

  Ready to structure your company with someone who understands the subject?
  Contact Logic via WhatsApp or Instagram direct message and speak with one of our consultants.