Originally Posted by vdbucks

As an LLC, opened in Delaware, the business itself does not pay taxes. You have to file but as the sole owner, or even in a partnership, there are no profits because any money left over at the end of the year goes to the owner(s) and the business itself files as breaking even at zero.

The business also pays no state taxes -- unless you do business in Delaware physically, but I'm not sure how that side works -- either.

The owner(s) however, gets "double taxed". Meaning that you pay both personal taxes as well as self employment tax on the same income from the business.