Where to Incorporate: Best Country for an Online Business
Every company jurisdiction in the Nomad Tax Index, grouped by region, with its tax model, what a one-person company pays on $100,000 of profit paid out to an owner abroad, the setup cost, banking and Stripe. Where you live also decides whether you need a company at all: at $100,000 of revenue the most favorable structure for a freelancer in Czechia or a sole trader in Serbia is self-employment, not a company.
Quick summary
- Profit paid out to an owner abroad bears 0% at company level in a US single-member LLC, Hong Kong, the UAE, the BVI, Panama and Seychelles, before any tax where the owner lives.
- Georgia and Estonia tax a company only when it distributes profit: 0% on $100,000 kept in the company, 19.25% and 22% once it is paid out.
- Setup costs run from market ranges of $90 to $1,700 in Bulgaria and $265 to $670 in the UK to $1,630 to $6,450 in the UAE, where the top end includes an investor visa.
- Stripe does not serve companies in Georgia, the BVI, Panama or Seychelles.
- The BVI and Bulgaria are on the FATF grey list, and the BVI and Panama are on Annex II of the EU list of non-cooperative jurisdictions as revised on October 9, 2026.
Jurisdictions in
16 of 16 jurisdictions
Europe
BulgariaA Bulgarian EOOD pays 10% corporate tax, the second-lowest standard rate in the EU after Hungary's 9%, and 5% on dividends to an owner abroad, so fully distributed profit bears 14.5% in Bulgaria.
- Tax model
- Corporate tax on profit, 10% Source: nra.bg, checked September 29, 2026. National Revenue Agency corporate tax page: 'Размер на данъка 10 на сто (чл. 20 от ЗКПО)', the rate is 10% under article 20 of the Corporate Income Tax Act
- Setup, all in
- $90 to $1,700Market range
- Banking
- WorkableStripe available
CyprusA Cyprus Ltd pays 15% corporate tax from 2026 and withholds nothing on dividends to an individual owner who lives abroad, but the mandatory audit puts running costs at about €3,600 (about $4,100) a year or more.
- Tax model
- Corporate tax on profit, 15% Source: gov.cy, checked September 29, 2026. Tax Department presentation of the Income Tax (Amendment) Law, Law 244(I)/2025, in force from January 1, 2026 (Greek): 'From 1/1/2026 companies are subject to corporate tax at a rate of 15%' (Second Schedule, Article 25). The rate was 12.5% up to December 31, 2025
- Setup, all in
- $1,600 to $3,300Market range
- Banking
- WorkableStripe available
EstoniaAn Estonian OÜ pays 0% on profit it keeps and 22% of profit when it pays it out, but a founder who runs it from abroad usually makes it taxable in their own country too.
- Setup, all in
- $470 to $1,900Market range
- Banking
- WorkableStripe available
HungaryA Hungarian Kft pays 9% corporate tax plus up to 2% local business tax on revenue, and 15% on dividends to an owner abroad, about 24.5% on fully distributed profit, with HUF 3 million (about $9,300) of capital locked in.
- Tax model
- Corporate tax on profit, 9% Source: net.jogtar.hu, checked September 29, 2026. Act LXXXI of 1996 on corporate tax and dividend tax, section 19: 'A társasági adó mértéke 9 százalék' (text in force February 28 to September 30, 2026, Hatályos Jogszabályok Gyűjteménye)
- Setup, all in
- $200 to $1,950Market range
- Banking
- WorkableStripe available
IrelandAn Irish LTD pays 12.5% only on a trade carried on in Ireland. Run by one founder who works abroad, its profit is foreign income taxed at 25%.
- Tax model
- Corporate tax on profit, 12.5% Source: revenue.ie, checked September 29, 2026. Revenue Tax and Duty Manual Part 02-02-02 (last reviewed January 2024), sections 21 and 21A TCA 1997: 12.5% applies generally to trading income; 25% applies to income chargeable under Cases III, IV and V of Schedule D, including foreign income, and to excepted trades
- Tax on $100,000 paid out
- 25% to 43.75% Source: revenue.ie, checked September 29, 2026. 25% corporation tax, then no dividend withholding for an owner resident in an EU or EEA state or a treaty country who files Form V2A certified by their tax authority. Without the exemption, 25% withholding on the EUR 65,917 paid out takes the total to 43.75%
- Setup, all in
- $285 to $3,400Market range
- Banking
- WorkableStripe available
MaltaA Malta Ltd pays 35% up front, and the owner claims 6/7 of it back when trading profit is paid out, so distributed profit bears about 5% in Malta.
- Tax model
- Hybrid, 35% Source: legislation.mt, checked September 29, 2026. Income Tax Act (Cap. 123), article 56(6): tax is charged at 35 cents on every euro of the chargeable income of every company
- Setup, all in
- $680 to $2,100Market range
- Banking
- WorkableStripe available
RomaniaA Romanian SRL making $100,000 of profit pays 16% profit tax and 16% on dividends to an owner abroad, 29.4% in all; the 1% micro regime stops at €100,000 (about $114,000) of revenue and needs a paid employee.
- Tax model
- Corporate tax on profit, 16% Source: static.anaf.ro, checked September 29, 2026. Fiscal Code (Law 227/2015, ANAF consolidated text, last updated by Emergency Ordinance 38/2026), art. 17: 'Cota de impozit pe profit ... este de 16%'
- Tax on $100,000 paid out
- 29.44% Source: static.anaf.ro, checked September 29, 2026. RON 74,228 profit tax, then the RON 389,694 left is paid to the non-resident individual owner with 16% withheld (art. 224(4)(b)): RON 62,351. Total RON 136,579 = 29.44% of profit
- Setup, all in
- $570 to $1,700Market range
- Banking
- WorkableStripe available
United KingdomA UK Ltd pays 19% to 25% corporation tax on its worldwide profit wherever the owner lives, then pays dividends to a non-resident owner with no UK withholding.
- Tax model
- Corporate tax on profit, 25% Source: gov.uk, checked September 29, 2026. HMRC rates and allowances (updated April 1, 2026), financial years 2025 and 2026: main rate 25%, small profits rate 19% for profits up to GBP 50,000, marginal relief between GBP 50,000 and GBP 250,000 with a standard fraction of 3/200. Both limits are divided by the number of associated companies
- Setup, all in
- $265 to $670Market range
- Banking
- GoodStripe available
Middle East
United Arab EmiratesA UAE free zone company pays 0% on the first AED 375,000 (about $102,000) of taxable income and 9% above, can elect 0% under Small Business Relief while revenue stays within AED 3,000,000 (about $817,000) until 2029, and pays out dividends with no withholding tax.
- Tax on $100,000 paid out
- 0% Source: mof.gov.ae, checked September 29, 2026. Article 45(1): State Sourced Income of a non-resident is subject to withholding tax at 0% unless the Cabinet sets another rate. Paying out AED 367,250 of profit costs AED 0 in UAE tax
- Setup, all in
- $1,630 to $6,450Market range
- Banking
- WorkableStripe available
Caucasus
GeorgiaA Georgian LLC pays 0% on profit it keeps and about 19.25% on profit paid out to a non-resident owner: 15% profit tax on the distribution plus 5% dividend tax.
- Setup, all in
- $460 to $800Market range
- Banking
- WorkableNo Stripe
Americas
PanamaA Panama corporation pays income tax only on Panamanian-source profit, so a company whose founder works abroad for foreign clients owes nothing in Panama, and without a Panamanian operating notice it pays no dividend tax either. Panama moved from the EU's list of non-cooperative jurisdictions to its Annex II watch list on October 9, 2026, Stripe does not serve Panama companies, and the law requires 3 directors.
- Setup, all in
- $1,700 to $2,100Market range
- Banking
- HardNo Stripe
United StatesA single-member LLC owned by a non-US person pays no US income tax when all the work is done outside the US, so the profit is taxed only where the owner lives.
- Tax on $100,000 paid out
- 0% Source: irs.gov, checked September 29, 2026. Same as retained: the LLC is disregarded, so taking money out is not a dividend and triggers no US tax. The owner's residence country taxes the profit whether or not it is paid out
- Setup, all in
- $300 to $2,000Market range
- Banking
- GoodStripe available
Caribbean
British Virgin IslandsA BVI Business Company pays no income tax, and its dividends to owners abroad carry no withholding tax, so the company's profit is taxed only where the founder lives. The BVI is on the FATF grey list and Annex II of the EU list, Stripe does not serve BVI companies, and government fees alone are $550 a year.
- Tax on $100,000 paid out
- 0% Source: laws.gov.vg, checked September 29, 2026. Section 242(1)(b): dividends paid by a company are exempt, so there is no BVI withholding on distribution. Distributed equals retained: 0%
- Setup, all in
- $2,275 to $4,235Market range
- Banking
- HardNo Stripe
Asia-Pacific
Hong KongA Hong Kong company pays profits tax only on Hong Kong-source profit: 8.25% on the first HKD 2,000,000 (about $255,000) and 16.5% above. Service fees earned while the founder works outside Hong Kong are offshore and untaxed once the tax office accepts the claim, and dividends leave with no withholding tax.
- Tax on $100,000 paid out
- 0% to 8.25% Source: legco.gov.hk, checked September 29, 2026. No dividend tax and no withholding tax on dividends paid to shareholders outside Hong Kong. Distributed equals retained: 0% on the offshore basis, 8.25% if the profit is Hong Kong-source
- Setup, all in
- $890 to $1,910Market range
- Banking
- GoodStripe available
SingaporeA Singapore company pays 17% corporate tax, which the partial exemption on the first SGD 200,000 (about $157,000) cuts to about 8.2% on $100,000 of profit, and pays dividends with no withholding tax. A founder abroad needs a Singapore-resident director.
- Tax model
- Corporate tax on profit, 17% Source: iras.gov.sg, checked September 29, 2026. IRAS: flat 17% of chargeable income for local and foreign companies. All companies get the partial tax exemption (75% of the first SGD 10,000 and 50% of the next SGD 190,000 of normal chargeable income, Income Tax Act section 43) unless they claim the start-up exemption
- Tax on $100,000 paid out
- 8.17% Source: iras.gov.sg, checked September 29, 2026. IRAS: Singapore currently does not impose withholding tax on dividends, so paying out the SGD 117,337 left after tax adds nothing; the total stays SGD 10,436, 8.17% of profit
- Setup, all in
- $1,950 to $4,220Market range
- Banking
- GoodStripe available
Africa
SeychellesA Seychelles IBC pays business tax only on income from activities in Seychelles, so a company whose founder does all the work abroad owes nothing there. Seychelles-sourced profit is taxed at 15% up to SCR 1,000,000 (about $68,200) and 25% above, and Stripe does not serve Seychelles companies.
- Tax on $100,000 paid out
- 0% Source: src.gov.sc, checked September 29, 2026. 0% when the founder works abroad: no Seychelles business tax on the profit and no withholding tax on dividends paid out of foreign-sourced profit
- Setup, all in
- $770 to $2,500Market range
- Banking
- WorkableNo Stripe