South Dakota (United States of America)

South Dakota politics are generally dominated by the Republican Party. As of 2016, Republicans hold a 15% voter registration advantage over Democrats and hold large majorities in both the state Senate and the state House.

Like other states of the US, the structure of the Government of South Dakota is based on that of the federal government, with three branches of government: Legislative, Executive and Judicial.

The GSP of South Dakota was $46.81 billion as of 2019, the 8th total state output in the U.S. The per capita personal income was $61,104 in 2019, ranked 23rd in the U.S.

The service industry is the largest economic contributor in South Dakota. This sector includes the retail, finance, and healthcare industries. Agriculture is still a key component of South Dakota economy despite other industries have rapidly expanded in recent decades. Another important sector in South Dakota's economy is tourism, many travel to view the attractions of the state, particularly those in the Black Hills region.

Currency:

United States Dollar (USD)

The corporate laws of South Dakota are user-friendly and often adopted by other states as a standard for testing corporate laws. As a result, the corporate laws of South Dakota are familiar to many lawyers both in the US and internationally. South Dakota has a common law system.

Type of Company/Corporation:

One IBC supply incorporation in South Dakota service with the common type Limited Liability Company (LLC) and C-Corp or S-Corp.

Business Restriction:

The use of the bank, trust, insurance, or reinsurance within the name of the LLC is generally prohibited as limited liability companies in most states are not allowed to engage in a banking or insurance business.

Company Name Restriction:

The name of each limited liability company as set forth in its certificate of formation: Shall contain the words "Limited Liability Company" or the abbreviation "L.L.C." or the designation "LLC";

• May contain the name of a member or manager;
• Must be such as to distinguish it upon the records in the office of the Secretary of State from the name on such records of any corporation, partnership, limited partnership, statutory trust or limited liability company reserved, registered, formed or organized under the laws of the State of South Dakota or qualified to do business.
• May contain the following words: "Company," "Association," "Club," "Foundation," "Fund," "Institute," "Society," "Union," "Syndicate," "Limited" or "Trust" (or abbreviations of like import).

Company Information privacy:

No public register of company officers.

Just 4 simple steps are given to start a business in South Dakota:

• Step 1: Select basic Resident/Founder nationality information and other additional services that you want (if any).
• Step 2: Register or log in and fill in the company names and director/ shareholder(s) and fill in the billing address and special request (if any).
• Step 3: Choose your payment method (We accept payment by Credit/Debit Card, PayPal, or Wire Transfer).
• Step 4: You will receive soft copies of necessary documents including Certificate of Incorporation, Business Registration, Memorandum and Articles of Association, etc. Then, your new company in South Dakota is ready to do business. You can bring the documents in the company kit to open a corporate bank account or we can help you with our long experience of Banking support service.

* These documents required to incorporate a company in South Dakota:

• Passport of each shareholder/beneficial owner and director;
• Proof of residential address of each director and shareholder (Must be in English or certified translation version);
• The proposed company names;
• The issued share capital and par value of shares.

Read more:

How to start a business in South Dakota, USA

Share Capital:

There is no minimum or a maximum number of authorized shares since South Dakota incorporation fees are not based on the share structure.

Director:

Only one director required

Shareholder:

Minimum number of shareholders is one

South Dakota company taxation:

Companies of primary interest to offshore investors are the corporation and the limited liability company (LLC). LLCs are a hybrid of a corporation and a partnership: they share the legal features of a corporation but may choose to be taxed as a corporation, partnership, or trust.

• Us Federal Taxation: US Limited Liability companies structured for partnership tax treatment with non-resident members and which conduct no business in the US and which have no US-source income are not subject to US federal income tax and are not required to file a US income tax return.
• State Taxation: US limited liability companies that conduct no business in the recommended states of formation with non-resident members are generally not subject to state income tax and are not required to file a state income tax return.

Financial statement

Local Agent:

South Dakota law requires that every business have Registered Agent in the State of South Dakota who may be either an individual resident or business that is authorised to do business in the State of South Dakota

Double Taxation Agreements:

South Dakota, as the state-level jurisdiction within the US, has no tax treaties with non-US jurisdictions or double tax treaties with other states in the US. Rather, in the case of individual taxpayers, double taxation is minimised by providing credits against South Dakota taxation for taxes paid in other states.

In the case of corporate taxpayers, double taxation is minimised through allocation and appointment rules related to the income of corporations engaged in multi-state business.

License Fee & Levy:

Like Wyoming, South Dakota is the state that does not levy a corporate income or gross receipts tax.

Read more:

• South Dakota trademark
• South Dakota business license

Payment, Company return due date

• Corporations:

A Statement of Information must be filed with the South Dakota Secretary of State within 90 days after filing the Articles of Incorporation and each year thereafter during the applicable filing period. The applicable filing period is the calendar month in which the Articles of Incorporation were filed and the immediately preceding five calendar months

• Limited Liability Company

Limited liability companies must file a complete Statement of Information within the first 90 days of registering with the SOS, and every 2 years thereafter before the end of the calendar month of the original registration date.

A South Dakota LLC is effective on the date you enter in your Articles of Organization or on the date your LLC is approved by the state (if no date is selected).