If I am correct, with USA not being part of CRS, any non-US citizen can set up a company in Delaware or Wyoming then open business and personal bank accounts in US and not be subject to reporting via CRS.
Has anyone done this and can they advise which is best Delaware or Wyoming?
Also what level of corporation or state tax is there on the company earnings?
Delaware is better than Wyoming, but the choice depends on your business.
USA are under FATCA and not CRS, but don't forget IGA (intergovernmental agreement) between USA and your jurisdiction (UBO).
The intergovernmental agreement (IGA) is very important. Only FATCA is not enough!
There are several types of intergovernmental agreements (IGA):
- Reciprocal Model 1A Agreement, Preexisting TIEA or DTC;
- Nonreciprocal Model 1B Agreement, Preexisting TIEA or DTC;
- Nonreciprocal Model 1B Agreement, No TIEA or DTC;
- Model 2 Agreement, Preexisting TIEA or DTC;
- Model 2 Agreement, No TIEA or DTC.
If there was a TIEA or DTC signed with the USA before FATCA, the intergovernmental agreement (IGA) will be "Reciprocal".
Read:
Foreign Account Tax Compliance Act (FATCA)
