Can I appoint someone in the U.S. to handle my foreign-owned LLC's payroll tax filings using Form 2678?
I'm a foreign owner of a U.S. LLC and I live overseas. Managing payroll tax deposits and filing Form 941 from abroad is difficult. I heard about Form 2678 that lets you appoint a fiscal agent to handle employment tax responsibilities. How does this work? Is the fiscal agent then responsible for making deposits and filing returns? Does this reduce my personal liability? Can my CPA serve as the fiscal agent?
Related Questions
Can I pay myself a salary from my foreign-owned single-member LLC?
I'm a non-resident alien from Brazil who owns a single-member LLC in the U.S. The LLC does web development work and earns good revenue. I want to pay myself a regular salary like an employee. Is this ...
Now that my LLC has an employee, does anything change about Form 5472 and the pro forma 1120?
Polish founder, foreign-owned single-member LLC, filing Form 5472 with the pro forma 1120 every year since formation. We hired our first US employee last month and suddenly there's a whole new univers...
Should my foreign-owned LLC use a PEO for payroll and HR — what are the pros and cons?
As a foreign owner of a U.S. LLC, I find U.S. payroll incredibly confusing. Someone recommended a PEO (Professional Employer Organization) that would handle everything — payroll, benefits, HR complian...
What is the Trust Fund Recovery Penalty and can it hit me personally as a foreign LLC owner?
My attorney mentioned something terrifying called the Trust Fund Recovery Penalty (TFRP) related to payroll taxes. He said the IRS can go after me personally even though my LLC is supposed to protect ...
My LLC is the payroll employer now — does backup withholding also run through the LLC?
Founder in Vietnam with a US LLC that recently became an employer (we file Form 941 for one employee). Two related things came up the same week: a US marketplace we sell on asked us to re-certify our ...
Does hiring a US-based employee turn my LLC's profits into ECI for me personally?
I'm a Spanish resident and my US LLC sells consulting and software services worldwide. While I worked alone from Spain, my understanding was that the income was foreign-source services income with no ...
Our payroll will be tiny — can my LLC just file annual Form 944 instead of quarterly 941s?
Founder in Turkey here. My US LLC is hiring one part-time employee starting July 2026, maybe ten hours a week. Total federal employment tax for the year will clearly be under a thousand dollars. My pa...
I'm a foreign LLC owner living in the U.S. — do I owe 'nanny tax' for my household employee?
I'm a non-resident alien who owns a U.S. LLC and I recently moved to the U.S. on a work visa. I hired a housekeeper who comes twice a week and I pay her $500/week in cash. A friend told me I might owe...
I became a resident alien after five calendar years, but I still work on campus half-time for my university. Can the student FICA exemption still apply?
This is where the online advice becomes muddy. Some people say the moment I become a resident alien the payroll exception disappears completely. Others say there is a separate student FICA exemption t...
What are totalization agreements and can they reduce my LLC's payroll tax obligations?
I'm from Germany and I own a U.S. LLC. I'm considering moving to the U.S. temporarily to work in my own business. A friend mentioned totalization agreements could help me avoid paying Social Security ...
Have a similar question?
ForeignLLCTax members get expert answers with IRS citations. One CPA consultation costs $200+. Full access is $9.99/month.
Become a Member — $9.99/moDisclaimer: All content on ForeignLLCTax.com is created by a tax professional and is provided for general educational and informational purposes only. It does not constitute tax, legal, or accounting advice, and should not be relied upon as such. Every tax situation is different — for advice specific to your circumstances, please consult a licensed CPA, Enrolled Agent, or tax attorney. By using this website, purchasing a subscription, or accessing any tools or services, you acknowledge that no client-professional relationship is established between you and ForeignLLCTax.com or its operators. This website is not affiliated with the IRS.
