Taxes on For-Profit DAO LLCs#

3% Gross Revenue Tax (GRT) on For-Profit DAO LLCs#

For-Profit DAO LLCs in the Marshall Islands must pay a 3% gross revenue tax. The GRT is a tax on top-line revenue but does not apply to capital gains, dividends, or invested capital.
Members of LLCs, including the For-Profit DAO LLC, usually have pass-through taxes in their own tax jurisdictions (e.g. the IRS for US Citizens) on the company's income. Please consult a local tax advisor to understand your potential pass-through tax implications.
These taxes can be paid to MIDAO in most popular cryptocurrencies, which are then converted and sent to the Marshall Islands government as fiat dollars.

Non-Profit DAO LLCs are Tax Free#

Non-Profit DAO LLCs do not have any taxes, nor should they have any pass-through taxes in any jurisdiction MIDAO is aware of, as they have no economic owners, and members have no economic rights.#

Disclaimer

MIDAO is not a law firm and does not provide legal services or advice. MIDAO recommends seeking independent legal advice regarding all decisions regarding Marshall Islands legal entities and related legal matters.

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