E-Commerce & Digital SellersAnswered

What are my tax obligations as a foreign LLC owner selling on Amazon FBA?

JG
james_gb_a434new member
July 25, 2020 2,847 views 1 answer
amazon fbaforeign LLCtax obligationsECIsales taxform 5472e-commerce

I'm a non-US person from the UK running an Amazon FBA business through a Wyoming LLC. I source products from China and ship them to Amazon's fulfillment centers in the US. Last year I did about $180,000 in gross sales.

I know I need to file Form 5472, but I'm confused about the rest. Do I owe federal income tax on these sales? What about state taxes? My products are stored in warehouses across multiple states. Someone told me I might have ECI (effectively connected income) because of the FBA warehouses.

This is getting overwhelming and I don't want to end up with a $25,000 penalty or worse.

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