Nevada sits in the western United States, bordered by California, Oregon, Idaho, Utah and Arizona. At just over 285,000 km², the Silver State is the seventh largest in the US, home to a little over three million people. The capital is Carson City, but the best-known and largest city is Las Vegas.
Nevada is a business-friendly state with very light regulation, streamlined licensing and permitting, and a favorable tax environment for companies and industry. It also has the workforce development, education and infrastructure to support economic growth.
Nevada is well worth a visit and an amazing place to live. It captivates visitors and residents alike with all the adventure and entertainment of Las Vegas, the capital of tourism, conventions, meetings and special events. But it also offers natural beauty and year-round recreation: skiing, golf, hiking, fishing and swimming at Lake Tahoe.
A destination for business
Nevada has always been a popular state for business. Key reasons include low formation costs, low regulatory, licensing and annual fees, its taxes and tax structure, privacy for business owners and competitive utility rates for commercial operations. Nevada ranks seventh in the Tax Foundation's 2020 State Business Tax Climate Index. Its major urban centers are taking on new international identities.
Of course, Nevada, and Las Vegas in particular, is seen as a tourist destination, but the Silver State has much more to offer. Nevada is fast becoming a hub for tech innovation and advanced manufacturing. Apple CEO Tim Cook came in person to break ground on the company's Reno facility and announce a further investment of $1.6 billion.
At the Tahoe-Reno Industrial Center, global players rub shoulders: Tesla with Gigafactory One, set to be the largest building on the planet, Switch, which is building the world's largest data center campus, and eBay. Google and Blockchains LLC have also recently made major investments in the region.
Las Vegas and Southern Nevada are also growing fast, with a changing and increasingly diversified economy. Aerospace, healthcare, manufacturing and logistics are other key industries.
Strategic location
Extensive transport infrastructure combined with proximity to West Coast markets and businesses cuts transport and warehousing costs. These are strong reasons for companies to set up operations in Nevada.
Within a day's drive on major interstate highways you can reach almost 60 million consumers and the major US deep-water ports serving the Pacific region. The rail network is excellent too, carrying freight from around the world to the American heartland and beyond.
Air travel is well covered too. Harry Reid International Airport in Las Vegas (McCarran International Airport until 2021) has ranked among the world's top 20 airports for more than five years. Besides more than 40 million passengers, it handles 85,000 tons of cargo. Nonstop flights connect it to almost every major US city and to many key global hubs in Europe, Asia and Latin America.
By the way, here are the 10 most popular US states for foreign direct investment.
Income tax in Nevada
Nevada levies no income tax. You do, however, pay federal income tax.
Corporate income tax in Nevada
Nevada levies no corporate income tax. However, once Nevada gross revenue exceeds $4 million a year, the state's Commerce Tax applies. You also pay federal corporate income tax.
Sales tax in Nevada
The USA has no VAT on the European model. Instead, states, counties and municipalities levy a local sales tax on the sale of goods (but not services).
Nevada sales tax rate
Nevada's state sales tax is 6.85%. Cities and counties add an average of 1.38%, for a combined average of 8.23%.
Nevada nexus laws & sales tax
Learn more about economic nexus laws and sales tax. Here you'll find our quick introduction to US tax law for European entrepreneurs.
Effective date
October 1, 2018
Included transactions:
Gross receipts from retail sales of tangible personal property into the state, excluding sales for resale. Services are not included in the threshold.
Treatment of exempt sales:
Exempt sales (other than sales for resale) are included in the threshold; exempt services are not included
Trigger:
Sales or transactions
Sales/transaction threshold:
$100,000 or 200 transactions
Evaluation period:
The threshold applies to the previous or current calendar year
Additional information:
- Registration requirements: Nevada requires a remote seller to register and collect and remit Nevada sales tax from the first day of the first calendar month that begins at least 30 calendar days after crossing the economic nexus threshold. See LCB File No. R014-201 for details.
- Remote seller FAQs
- R189-18
Nevada marketplace sellers & sales tax
Learn more about registration requirements for marketplace sellers
Marketplace facilitator enforcement date:
October 1, 2019
Economic nexus threshold:
More than $100,000 in gross revenue or at least 200 transactions into Nevada in the current or previous calendar year. Currently, remote sellers should include sales made through a marketplace when calculating the threshold. The state has yet to clarify whether marketplace sellers should include or exclude marketplace sales from their threshold count as of October 1, 2019. Marketplace facilitators include all sales made through the marketplace when calculating the threshold.
Registration requirements:
- Remote multichannel sellers: Once you cross the economic nexus threshold, you must register with the Nevada Department of Taxation and collect Nevada sales tax on sales not taxed by a marketplace facilitator.
- Remote marketplace sellers: You may need to register once you cross the economic nexus threshold, even if you only sell through one or two marketplaces. Contact the Nevada Department of Taxation for more information.
- In-state multichannel sellers: You must register with the Nevada Department of Taxation and collect tax on sales not taxed by a marketplace facilitator.
- In-state marketplace sellers: You must register. Contact the Nevada Department of Taxation for more information.
- Learn more here.
For an overview of every state, see our directory US states at a glance. Our guide Which US state is best for your company? helps you pick the right state, and the guide to forming a US company walks you through the process. And if you want to run your US LLC tax-free without a US permanent establishment, our sister site zerotax.llc is the place to go.
Our services for Nevada:
We can form your company in six states; our US company formation overview shows which one fits your plans in Nevada. Any open questions? Let's go through them in a consultation.