Delaware....

Delaware use to be, but Nevada has been said to be the better place now. It I believe has better tax benefits and the shares holders names do not have to be made public. There is one thing other thing if you incorporate in one state and operate in anoter you have to file papers with that state, as well. The operational state is generally not to bad, in most cases all you supply is legal address and contact to the corporation to the second state. some require a lot more so that second state can tax you. So you need to check the state your going to operate in to see what they require too. Then again if you have no customers I guess you can skip that part.

a side note; has nothing to do with corporations, but taxes.
I attended a trade show (FX) in Las Vagas two years ago. One of the letturers there that year was a trader tax accountant. Can't remember which one. He was beating his fist in the palm of is other hand, telling the attendents that THEY had to demand 1099 for their FX brokers because with out it you cant file taxes on gains and losses in Fx. He went on and on about not to use a broker if it did not file 1099's etc..

So I asked, Why do you want to do that? If they did not give you a 1099 at the end of the year, then they haven't given one to the tax people either. Everone there got my point. So I not sure your requirments for forming a corporation. But...

Wyoming is the new NV. DE also is good.

Because sooner or later, the tax man will cometh. Regulators can easily demand FX brokers to retroactively file 1099's. It is all in electronic form anyways, so it would not be too difficult for the Brokers to implement. Then the IRS will just electronically look at all the missing filings over the past years, match it to your ss number, audit you, and then you will owe so much in late payment fees and interest, it would not be funny.

So maybe now, you will get his point finally. I always file all my trading activity, and not worry about it. Besides, I don't look that good in pin stripes.

No idea on the corporation. I see a lot of people do it in NV though, but not sure why either. Would be interesting to see what others comment.

Or the better question may be, why do you want to incorporate for trading forex and what are your plans after getting incorporated?

jbfx, You are 100% right.

Hi.

There is a lot of information out there on forming corporations, where, why, how much, etc. A good start might be here: Incorporate - Where to Incorporate a Corporation or LLC with Companies Incorporated

I would encourage you to speak to a competent attorney who knows the ins and outs.

Regards...

you may also want to look at the offshore options if beeing incorporated outside of US isn't an issue

IRS is cracking down on offshore tax havens soon.

IRS has no jurisdiction at offshore countries so thats not happening. Maybe you mean US is forcing them to provide data but it's not easy unless they invade them. It can happen but it's not that easy