US LLC taxes for non-residents — what you file every year and what you actually owe

Reviewed against official IRS sources · Updated 2026-10-16

Owning a US LLC from abroad usually means no US income tax on the LLC itself — but always an IRS return. Which one depends on how many members the LLC has.

One member: the LLC is a “disregarded entity”, and a foreign-owned one must file Form 5472 attached to a pro forma Form 1120 every year it has reportable transactions with its owner — and putting money in or taking it out counts. Missing it costs $25,000.

Two or more members: the LLC is a partnership and files Form 1065 with a Schedule K-1 for every member, by March 15 for a calendar year.

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Which return your LLC files

Single-member LLCMulti-member LLC
Tax statusDisregarded entityPartnership
What is filedPro forma Form 1120 + Form 5472Form 1065 + Schedule K-1 per member
Due (calendar year)April 15; to October 15 with Form 7004March 15; to September 15 with Form 7004
How it's filedFax or mail to the IRS (no e-file)Mail or e-file
Penalty for missing it$25,000 per Form 5472$255 per member per month, up to 12 months
A pro forma 1120 is not a corporate tax return: only the name, address, EIN and a few items are filled in, with “Foreign-owned U.S. DE” written across the top.

Form 5472: what counts as a reportable transaction

Any transaction between the LLC and its foreign owner or a related party: money the owner contributes (including to form the LLC), distributions, loans, payments for services, expenses the owner pays for the LLC. A brand-new LLC whose owner paid the formation fees already has one.

The IRS doesn't take Form 5472 for a disregarded entity electronically: it goes by fax to 855-887-7737 or by mail to Ogden, Utah. You can fax it with us and keep the transmission report as proof of filing.

Does the owner owe US tax?

A nonresident owes US income tax on income that is effectively connected with a US trade or business (and on some US-source passive income). An LLC whose owner works from abroad, with no US office, staff or agent, often has none — but the line depends on facts, so ask a preparer. When there is such income the owner files Form 1040-NR.

For a partnership with foreign partners and effectively connected income, the partnership itself withholds tax for them (section 1446) and files Forms 8804 and 8805.

State filings are separate

  • Wyoming: annual report with the $60 minimum license tax.
  • New Mexico: no annual report.
  • Delaware: $300 LLC tax every year.

Companies formed in the US no longer file BOI reports with FinCEN.

We prepare and file it every year

Form 5472 with the pro forma 1120 for a single-member LLC, or Form 1065 with every member's K-1 — prepared, reviewed and signed by an Enrolled Agent, filed with proof.

Prices for single- and multi-member LLCs are on the page.

LLC tax return

Frequently asked questions

Yes, for every year it has a reportable transaction with its foreign owner or a related party — including the money the owner put in. It is attached to a pro forma Form 1120.

$25,000 for each Form 5472 not filed on time (a substantially incomplete form counts as not filed), and another $25,000 for each 30 days the failure continues more than 90 days after an IRS notice.

With the pro forma 1120: the 15th day of the 4th month after the tax year ends — April 15 for a calendar year — or October 15 with a Form 7004 extension.

No — a multi-member LLC is a partnership and files Form 1065 with a Schedule K-1 for each member, due March 15.

Not for a disregarded entity: the IRS takes it by fax or mail only.

Official sources

Horizance is not affiliated with the IRS. This guide is general information, not legal or tax advice.

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