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Company formation USA: DTAs – Tax Treaties
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Company formation USA: DTAs-Tax Treaties
List of Countries Having Tax Treaties With the United States
| Country | Effective Date | Country | Effective Date |
|---|---|---|---|
| Australia | 1982 (protocol 2001) | Lithuania | 1998 |
| Austria | 1996 | Luxembourg | 1962 (protocol 2009) |
| Barbados | 1984 | Mexico | 1992, 2004 |
| Belgium | 1970 | Morocco | 1977 |
| Canada | 1980 (protocol 2009) | Netherlands | 1992 |
| China | 1984 | New Zealand | 1992 (protocol 2009) |
| Cyprus | 1984 | Norway | 1971 |
| Czech Republic | 1993 | Pakistan | 1957 |
| Denmark | 1948, 2000 | Philippines | 1976 |
| Egypt | 1980 | Poland | 1974 |
| Estonia | 1998 | Portugal | 1994 |
| Finland | 1989 | Romania | 1973 |
| France | 1994 (protocol 2009) | Russia | 1992 |
| Germany | 1989 | Slovak Republic | 1993 |
| Greece | 1950 | Slovenia | 1999 |
| Hungary | 1979 | South Africa | 1997 |
| Iceland | 1975 (protocol 2009) | Spain | 1990 |
| India | 1989 | Sweden | 1994 |
| Indonesia | 1988 | Switzerland | 1996 (protocol 2009) |
| Ireland | 1997 | Thailand | 1996 |
| Israel | 1975 | Trinidad | 1970 |
| Italy | 1984 | Tunisia | 1985 |
| Jamaica | 1980 | Turkey | 1996 |
| Japan | 1971 | Ukraine | 1994 |
| Kazakhstan | 1993 | USSR | 1973 |
| Korea | 1976 | United Kingdom | 1975 |
| Latvia | 1998 | Venezuela | 1999 |
There are also agreements in place with: Armenia (since 1973), Azerbaijan (1973), Bagladesh (2006), Belarus (1973), Georgia (1973), Kyrgyzstan (now known as the Kyrgyz Republic- 1973), Malta (2009), Moldova (1973), Sri Lanka (2002), Tajikistan (1973), Turkmenistan (1973), and Uzbekistan (1973). A treaty with Bulgaria was due to be signed late in 2009.
Corporate taxes USA :
| Income: | Tax rate: |
|---|---|
| US$0–50,000 | 15% |
| US$50,001–75,000 | US$7,500 + 25% of the excess amount |
| US$75,001–100,000 | US$13,750 + 34% of the excess amount |
| US$100,001–335,000 | US$22,250 + 39% of the excess amount |
| US$335,001–10,000,000 | US$113,900 +34% of the excess amount |
| US$10,000,001–15,000,000 | US$3,400,000 + 35% of the excess amount |
| US$15,000,001–18,330,000 | US$5,150,000 + 38% of the excess amount |
| US$18,330,001 and above | 35% |
Smaller companies may use a simplified income tax return Form 1120-A if they meet the following requirements, among others:
- Gross receipts and total income are both under $500,000;
- Total assets are also under $500,000;
- Does not own and is not owned by a foreign corporation.
US State Income Tax For Corporations
US State Income Tax For Corporations – 2004
| State | Income Tax (Range) % | Brackets ($) | Comments | Federal Tax Deductible? |
|---|---|---|---|---|
| Alabama | 6.5 | flat rate | Yes | |
| Alaska | 1.0 – 9.4 | 10,000 – 90,000 | No | |
| Arizona | 6.968 | flat rate | No | |
| Arkansas | 1.0 – 6.5 | 3,000 – 100,000 | No | |
| California | 8.84 | flat rate | 1.5% for S Corporations | No |
| Colorado | 4.63 | flat rate | No | |
| Connecticut | 7.5 | flat rate | No | |
| Delaware | 8.7 | flat rate | No | |
| Florida | 5.5 | flat rate | No | |
| Georgia | 6.0 | flat rate | No | |
| Hawaii | 4.4 – 6.4 | 25,000 – 100,000 | No | |
| Idaho | 7.6 | flat rate | No | |
| Illinois | 7.3 | flat rate | No | |
| Indiana | 8.5 | flat rate | No | |
| Iowa | 6.0 – 12.0 | 25,000 – 250,000 | Yes (50%) | |
| Kansas | 4.0 | flat rate | Plus 3.5% over 50,000 | No |
| Kentucky | 4.0 – 8.25 | 25,000 – 250,000 | No | |
| Louisiana | 4.0 – 8.0 | 25,000 – 200,000 | Yes | |
| Maine | 3.5 – 8.93 | 25,000 – 250,000 | No | |
| Maryland | 7.0 | flat rate | No | |
| Massachusetts | 9.5 | flat rate | No | |
| Michigan | 1.9 | flat rate | wide tax-base | No |
| Minnesota | 9.8 | flat rate | No | |
| Mississippi | 3.0 – 5.0 | 5,000 – 10,000 | No | |
| Missouri | 6.25 | flat rate | Yes | |
| Montana | 6.75 | flat rate | No | |
| Nebraska | 5.58 – 7.81 | 50,000 | No | |
| New Hampshire | 8.5 | flat rate | No | |
| New Jersey | 9.0 | flat rate | No | |
| New Mexico | 4.8 – 7.6 | 500,000 – 1m | No | |
| New York | 7.5 | flat rate | No | |
| Nevada | zero | |||
| North Carolina | 6.9 | flat rate | No | |
| North Dakota | 3.0 – 10.5 | 3,000 – 50,000 | Yes | |
| Ohio | 5.1 – 8.5 | 50,000 | No | |
| Oklahoma | 6.0 | flat rate | No | |
| Oregon | 6.6 | flat rate | No | |
| Pennsylvania | 9.9 | flat rate | No | |
| Rhode Island | 9.0 | flat rate | No | |
| South Carolina | 5.0 | flat rate | No | |
| South Dakota | 6.0 | flat rate | No | |
| Tennessee | 6.5 | flat rate | No | |
| Texas | 4.5 | flat rate | on ‘earned surplus’ | No |
| Utah | 5.0 | flat rate | No | |
| Vermont | 7.0 – 9.75 | 10,000 – 250,000 | No | |
| Virginia | 6.0 | flat rate | No | |
| West Virginia | 9.0 | flat rate | No | |
| Wisconsin | 7.9 | flat rate | No | |
| Washington | zero | |||
| Washington DC | 9.975 | flat rate | No | |
| Wyoming | zero |
