Anonymous LLC formation - Wyoming vs New Mexico for privacy?

Looking to form an LLC for real estate holdings and want to keep my name out of public records. I've heard Wyoming and New Mexico are the go-to states for anonymous LLCs.

What's the actual difference? Is one better than the other for privacy? Also, what about nominee services - legit or sketchy?

The Corporate Transparency Act (CTA) is critical to understand. Under current FinCEN rules, U.S.-formed LLCs are exempt from BOI reporting; certain foreign-formed entities registered to do business in the United States may still be reporting companies.

When a covered foreign reporting company files BOI, the information goes to FinCEN and is not a public record. Your state filing can still be anonymous. Authorized government agencies and certain financial institutions may access filed BOI under FinCEN's access rules.

So "anonymous LLC" in 2024 means:

• Public anonymity: Yes - Wyoming/New Mexico don't publish your name
• Federal BOI reporting: U.S.-formed LLCs are exempt under current rules

This is about privacy from the general public, competitors, litigants searching records - not about hiding from the government.

I have 4 rental properties each in their own Wyoming LLC. My name doesn't appear anywhere in public records. When tenants look up who owns the building, they just see "Mountain West Properties LLC" with a registered agent address.

Super useful for avoiding tenant harassment and keeping my personal address private. Property records show the LLC as owner, not me personally.

Exactly my use case. Don't want tenants showing up at my house with complaints honestly.

What about nominee services? I've seen companies offering to be listed as the member/manager on your behalf. Are those legit or just a way to get yourself in trouble?

Nominee services (also called nominee managers/members) are legal but come with risks you need to understand:

How they work: A third party is listed as the manager/member in public records, while you retain actual ownership and control via a private operating agreement.

In Wyoming/New Mexico, you often don't NEED a nominee because the state already provides privacy. Just list yourself as manager but don't make that info public.

Another option: have a trust own the LLC. Your revocable living trust can be the sole member of the LLC. Adds another layer of privacy and has estate planning benefits.

I use this structure: Wyoming LLC owned by Nevada trust. Nevada doesn't require trust beneficiaries to be public. So there's literally no public record trail to me.

The trust-owned LLC structure works well but adds complexity and cost. You need:

• Trust formation documents ($1,500-5,000 attorney fees typically)
• Annual trust tax return if the trust generates income (Form 1041)
• Proper trust administration to avoid it being disregarded

For most people doing basic asset protection and privacy, a simple Wyoming or New Mexico LLC is sufficient. Save the trust layer for higher net worth situations or when estate planning is a primary goal.

Really helpful context from everyone. To summarize what I'm learning:

• Wyoming = better legal framework, annual fees, strong asset protection
• New Mexico = cheaper, no annual reports, less established case law
• Both can provide public-record privacy, but U.S.-formed LLCs are exempt from FinCEN BOI reporting under current rules.
• Nominee services rarely needed and can create banking issues
• Trust ownership adds complexity but maximum privacy

I'm leaning Wyoming since I want the asset protection case law and don't mind the annual $60 fee.

Perfect. Properties are in Texas which doesn't have state income tax and I've confirmed with a local attorney that I don't need to foreign qualify for passive real estate holdings.

Going with Wyoming LLC. Thanks everyone for the detailed breakdown.

Looked into anonymous LLCs for my rental properties. Here's what I found after actually going through the process:

• Wyoming: Doesn't require member/manager names on formation docs. Uses a nominated organizer. Cheapest option (~$100 filing + registered agent).
• New Mexico: No annual reporting requirement AND no public member disclosure. True anonymity with minimal maintenance.
• Delaware: No public member disclosure but requires annual franchise tax ($300+).
• Nevada: Requires an initial list of managers (public) but offers strong charging order protections.

Important caveat: "anonymous" means anonymous from PUBLIC records. Your bank, the IRS, and law enforcement will always know who you are. This is asset protection and privacy from lawsuits and stalkers, not from the government.

Good overview. I'll add the practical reality check: anonymous LLC structures add complexity and cost. You need to weigh the privacy benefits against:

• Foreign LLC registration: If your anonymous WY LLC operates in California, you must register there as a foreign LLC — and California DOES require public disclosure of managers. So your anonymity may be lost where it matters most.
• Banking difficulties: Banks may require beneficial-owner information under customer due diligence and KYC requirements, separate from FinCEN's BOI reporting rule. Getting a bank account for an anonymous LLC can be challenging.
• BOI reporting: U.S.-formed LLCs are exempt; certain foreign-formed entities registered to do business in the United States may still have reporting obligations. This information isn't public, but it exists in a government database.

For most people, a simple LLC in their home state provides adequate liability protection without the anonymity premium. The anonymous structure makes the most sense for high-profile individuals, domestic violence survivors, or people with legitimate security concerns.