99% of the time there's no reason to incorporate in Delaware for your side project. Just form an LLC in your state and it'll be considered a "disregarded entity

99% of the time there's no reason to incorporate in Delaware for your side project. Just form an LLC in your state and it'll be considered a "disregarded entity" on your tax return and you'll report the income/expenses on schedule C of your 1040. If you're making more than a few grand (net) then you might consider having your LLC taxed as a corporation and enjoy the 15% tax treatment. If Trump gets his way, corporate taxes might finally be reduced and you'll get even more favorable tax treatment. However, if your intent is to enjoy the income but you expect a narrow net income or loss (lots of expenses can be attributed to your business), then stick with a single-member, disregarded entity, LLC.