Start a US LLC from Germany

Getting paid from Germany

Stripe, PayPal and Shopify Payments all serve businesses registered in Germany. A US LLC does not give a German founder payment methods that are otherwise out of reach.

What it changes is the setup: a US Stripe account paid out in dollars to a US business bank account, and a US company that American clients can contract with. Stripe reviews every application and makes its own decision.

How Germany classifies an LLC

German residents are taxed on their worldwide income. Germany does not follow the US classification of an LLC. It compares each LLC with German legal forms, the Typenvergleich, based on the operating agreement and the state law. The criteria come from a 2004 letter of the Federal Ministry of Finance and have been confirmed by the Federal Fiscal Court. Depending on the facts, an LLC is treated as a corporation, like a GmbH, or as a partnership.

That result decides most of what follows: whether profit is taxed at the owner as it arises or only when it is distributed, how the Germany-US tax treaty applies, and whether trade tax (Gewerbesteuer) comes into play.

Managed from Germany

A company whose place of management is in Germany has unlimited corporate tax liability in Germany, wherever it was formed. An LLC run day to day from a home office in Germany can therefore be taxed in Germany much like a German company, including trade tax.

Separately, the Foreign Tax Act (AStG) can attribute low-taxed passive income of a foreign company controlled by German residents to its German shareholders. Income counts as low-taxed when it bears less than 15% tax. Trading and services can count as active income, but with conditions that matter when the company deals with you or related persons.

Reporting the LLC

Section 138 of the Fiscal Code (AO) requires residents to report to their tax office when they acquire at least 10% of a foreign company, or when their acquisition costs exceed EUR 150,000, and when they first gain controlling influence over a company outside the EU and EFTA. Forming a US LLC usually triggers this. The report is due with the tax return for that year, at the latest 14 months after the year ends.

There are no exchange controls on sending money to the LLC or bringing it back. Keep a record of every transfer between you and the company, and talk to a Steuerberater before the LLC starts trading.

The US side is the same for everyone

Where you live does not change the US part. It is done online, without travelling, without a US address and without an SSN.

1. Choose a state: Wyoming or New Mexico for low running costs, Delaware if you plan to raise money from investors.
2. The formation document is filed with a registered agent in that state, within 48 hours.
3. The EIN is requested from the IRS as soon as the state approves. No SSN or ITIN is needed.
4. You get the operating agreement that banks and payment providers ask for.
5. With those documents you apply for a US business bank account, for example at Mercury.
6. Every year: the registered agent, the state's annual report where there is one, and Form 5472 for a single-member LLC owned by a foreign person.

Which state?

With no people or premises in the US you can choose any state. Most founders abroad choose on yearly cost and speed.

Pay for your LLC in Euro

At checkout you can pay in Euro instead of US dollars. We convert at the day's ECB reference rate plus 1.5%, fixed at the moment you order.

Sources checked on November 2, 2026

• Fiscal Code (AO), section 138: reporting foreign participations
• Foreign Tax Act (AStG), section 8: low taxation and active income
• Corporate Income Tax Act (KStG), section 1: unlimited tax liability
• Stripe: global availability
• Shopify Payments: supported countries