Short answer
If one foreign person owns your U.S. single-member LLC, the LLC files Form 5472 with a pro forma Form 1120 for each tax year it has a reportable transaction with a related party. Money the owner puts in or takes out counts. For a calendar-year LLC, the 2026 filing is due April 15, 2027 (October 15, 2027 with an extension). It must be faxed or mailed, not e-filed, and the penalty for not filing is $25,000.
Many people outside the United States form a U.S. LLC to sell online, invoice U.S. clients or open a U.S. bank account. Setting up the LLC is usually the easy part. The yearly IRS filing that comes with it surprises a lot of owners: Form 5472, attached to a "pro forma" Form 1120.
This guide covers who has to file, what the IRS counts as a reportable transaction, the deadline for the 2026 tax year and how to send the forms. The rules come from the IRS instructions for Form 5472, linked at the end.
What is Form 5472?
Form 5472 is an IRS information return. Its full name is "Information Return of a 25% Foreign-Owned U.S. Corporation or a Foreign Corporation Engaged in a U.S. Trade or Business." It tells the IRS who owns the company and what money or other value moved between the company and related parties during the year.
For this reporting, the IRS treats a U.S. LLC that is wholly owned by one foreign person as a corporation, even though the LLC is a "disregarded entity" for income tax. The IRS calls it a foreign-owned U.S. DE (disregarded entity). The LLC sends Form 5472 together with a pro forma Form 1120, which works as a cover page.
Form 5472 does not calculate tax. Whether the owner owes U.S. income tax is a separate question that depends on what the business does and where it does it. A tax planning review answers that for your situation.
Who must file Form 5472?
A foreign-owned U.S. DE is a U.S. entity, usually an LLC, that is wholly owned by one foreign person and disregarded for U.S. income tax. The owner can be an individual who is not a U.S. citizen or resident, or a foreign company.
If that describes your LLC, it files Form 5472 for each tax year in which it had a reportable transaction with a related party. The next section explains why that covers most foreign-owned LLCs.
Form 5472 also applies to U.S. corporations that are at least 25% foreign owned and to foreign corporations doing business in the United States. Some of the filing exceptions that help those corporations do not apply to a foreign-owned U.S. DE.
An LLC with two or more members is taxed as a partnership by default and files Form 1065 instead. Form 5472 applies to it only if it elects to be taxed as a corporation and meets the 25% foreign ownership test.
What counts as a reportable transaction?
A related party includes the foreign owner and people or companies connected to the owner. For a foreign-owned U.S. DE, the IRS instructions include amounts paid or received in connection with forming, dissolving, acquiring or disposing of the LLC, and contributions to and distributions from the LLC.
Common examples:
- The owner sends money to the LLC's bank account to fund it (a contribution).
- The LLC sends money to the owner (a distribution).
- The owner pays the state filing fee, the registered agent or other LLC costs from a personal account.
- The LLC pays the owner, or a company the owner controls, for services, goods, rent or interest.
- Loans between the LLC and the owner.
Because the owner usually funds the LLC and pays some of its costs, most foreign-owned LLCs have reportable transactions, including in years with no sales. No income does not, on its own, mean no filing. The LLC files a separate Form 5472 for each related party it had reportable transactions with.
When is Form 5472 due?
Form 5472 is due with the pro forma Form 1120, by the Form 1120 due date. For a calendar-year LLC, that is the 15th day of the 4th month after the year ends.
| Tax year | Due date | With an extension (Form 7004 sent on time) |
|---|---|---|
| 2026 (calendar year) | April 15, 2027 | October 15, 2027 |
To get the extra six months, send Form 7004 by the regular due date. A foreign-owned U.S. DE has to fax or mail Form 7004 as well. If a due date falls on a Saturday, Sunday or legal holiday, it moves to the next business day.
How to file Form 5472, step by step
- Get an EIN for the LLC. The LLC needs its own Employer Identification Number. On Form SS-4, line 9a, check "Other" and write "Foreign-owned U.S. disregarded entity-Form 5472". Our guide to getting an EIN as a non-U.S. resident walks through the rest.
- Collect the year's records. Bank statements, invoices and a list of every transfer between the LLC and the owner. The LLC must keep books and records that support the return, including its related-party transactions. Monthly bookkeeping makes this step quick.
- Prepare the pro forma Form 1120. Write "Foreign-owned U.S. DE" across the top. Complete only the LLC's name and address and items B and E on page 1.
- Complete Form 5472. Report the LLC, its direct and ultimate foreign owners (with a foreign tax ID number if they have one), the related party and the transactions. A foreign-owned DE checks the Part V box for other transactions, such as contributions and distributions, and attaches a statement describing them.
- Fax or mail it to the IRS. A foreign-owned U.S. DE cannot file Form 5472 electronically. Fax: 855-887-7737. Mail: Internal Revenue Service, 1973 Rulon White Blvd., M/S 6112, Attn: PIN Unit, Ogden, UT 84201.
- Keep proof that you sent it. Save the fax confirmation or the mailing receipt with a copy of the complete filing.
What happens if you don't file?
The IRS instructions set a $25,000 penalty on a reporting corporation that fails to file Form 5472 when due. If the failure continues for more than 90 days after the IRS sends a notice, an additional $25,000 penalty applies for each 30-day period, or part of one, that it continues.
If you have missed one or more years, speak with a tax professional before sending the late filings, so the catch-up returns are complete and consistent with each other.
Common mistakes to avoid
- Assuming no income means no filing. Owner contributions and distributions are reportable for a foreign-owned LLC.
- Trying to e-file. A foreign-owned U.S. DE must fax or mail Form 5472.
- Sending Form 5472 on its own. It goes with a pro forma Form 1120 marked "Foreign-owned U.S. DE".
- Filing the extension online. Form 7004 also has to be faxed or mailed by the regular due date.
- Losing track of transfers. Without a record of the money that moved between you and the LLC, the form can't be completed accurately.
How Top Accounting Firm can help
Our foreign-owned U.S. LLC services cover it from day one: forming the LLC, getting the EIN, keeping the books and preparing Form 5472 with the pro forma Form 1120 each year, including the extension when one is needed. If you are not sure whether your LLC has to file, book a free consultation and we will look at your situation.
Frequently asked questions
Do I need to file Form 5472 if my LLC had no income?
When is Form 5472 due in 2027?
Can I e-file Form 5472 for a foreign-owned LLC?
What is the penalty for not filing Form 5472?
Does a multi-member LLC with foreign owners file Form 5472?
Do I need an EIN to file Form 5472?
Sources
- IRS: Instructions for Form 5472 (Rev. December 2024)
- IRS: Instructions for Form SS-4
- IRS: Publication 509, Tax Calendars
Checked against these sources on October 25, 2026. This article is general information, not tax or legal advice. Rules, fees and deadlines change, so confirm with the official source or a tax professional before you file.
