50 State Series: How to move your LLC or corporation out of Virginia and keep your EIN

Attorney and CPA Chad D. Cummings examines Virginia’s tax structure in this presentation. While the state maintains a moderate 5.75 percent individual income tax rate and a 6.0 percent corporate rate, the real burden comes from local taxes. Virginia localities can impose a BPOL gross receipts tax, a business personal property tax with no de minimis exemption, and other levies that vary by jurisdiction, creating significant compliance costs and effective rates that exceed the headline numbers. Combined with nonconformity on expensing and other structural issues, these local taxes make Virginia less competitive than states with no income tax. Florida and Texas impose no state personal income tax and offer far simpler, lower-burden environments. This presentation shows how redomestication allows Virginia business owners to move a company to another state without dissolving the entity, without creating a new company, and on a completely tax-free basis while preserving the same FEIN, contracts, credit history, and bank accounts. If you own a business in Virginia, the local tax layer may justify making the move. Learn more: https://www.cummings.law/redomestication/