Real Tax Questions, Expert Answers
Get answers to your foreign-owned LLC tax questions from ForeignLLCTax. Every answer includes IRS source citations and step-by-step guidance.
I write for U.S. companies from the Netherlands and never travel. What records best support the foreign-work position?
I am a writer in the Netherlands using a U.S. LLC for several long-term American clients. Everything happens remotely: research, writing, edits, invoices, and calls. I never go to the United States fo...
I designed everything from Poland, but I also spent two workshop days in Chicago. Should those U.S. days be split out?
I am a freelance designer in Poland using a U.S. LLC for client work. Most of a recent branding project was done in Warsaw, but I spent two days in Chicago running an in-person workshop with the clien...
Can someone explain the 5 categories of filers on Form 5471 in plain English?
I've been reading the Form 5471 instructions and the categories of filers section is incredibly confusing. I own shares in two different foreign companies — 8% in one and 25% in another. Both companie...
A Texas event paid me a $7,500 appearance fee and reimbursed flights and hotel. Should I treat the reimbursement as part of the same tax file?
I live in Spain and was invited to speak at a creator event in Texas. The contract had a $7,500 appearance fee, and the organizer also reimbursed my flights, hotel, and local transport. I had been thi...
My merch sales and sponsorship money are in the same LLC. Do I really need separate books or just better tags?
I am in South Korea and run a creator business through a U.S. LLC. Until now the company mostly made money from sponsorships and platform payouts, but I recently added merch through a print-on-demand ...
X shows subscription revenue, then a chargeback hits later. Do I book the first number or wait for the payout support?
I am based in Indonesia and use a Wyoming LLC for my creator business. My X subscription revenue has started to become meaningful, but I noticed that some weeks the dashboard looks strong and then a c...
I did consulting and app onboarding during a U.S. trip. Should those days be split from my normal remote invoices?
I am based in Spain and use one Delaware LLC for both freelance product consulting and a small app business. Most of my work is remote, but during a recent U.S. trip I spent three days doing client on...
What are the penalties for not filing a Beneficial Ownership Information report?
I read that the Corporate Transparency Act requires my foreign-owned LLC to file a Beneficial Ownership Information (BOI) report with FinCEN. What happens if I miss the deadline? I heard the current c...
When I move an app from personal ownership into the LLC, is the bookkeeping cutoff date as important as the platform transfer itself?
I am based in Spain and my app started under my personal accounts on Apple and Google. I now have a U.S. LLC and I am cleaning up the legal and tax side. My instinct was to focus on platform transfers...
Google says missing tax info can trigger withholding. If I fix the form now, does it help future payouts only or past ones too?
I live in the UAE and one of my Google payout notices made me realize the tax information in the payments center was incomplete. I updated the records right away, but I am unsure whether that mainly a...
Google Play estimated sales are higher than the earnings report. Which one should I trust for taxes?
I live in Brazil and my Android revenue is growing fast enough that I finally need disciplined monthly books. The problem is that the estimated sales report looks better than the earnings report, and ...
Apple paid me in one month but the financial report seems to point to Apple's fiscal month. Which month should I book?
I live in Thailand and my LLC gets most revenue from the App Store. When I compare the bank deposit to the App Store Connect financial report, the dates do not line up with a simple calendar-month vie...
My app launched under my personal account last year. Now I want all 2026 revenue in the LLC. What has to change first?
I live in South Korea and my mobile app started as a solo project. Revenue was small at first, so I handled the platform accounts personally. Now the app is growing and I formed a U.S. LLC to run subs...
Apple wants tax forms in App Store Connect and I already used the wrong entity name. Can I fix it later without side effects?
I am in Japan and my iOS app now earns around $9,000 per month through a Delaware LLC, but my original Apple setup was rushed. The banking and tax side partly reflects the LLC and partly reflects my o...
I signed a renewal in Texas on the last day of a U.S. trip. Is that the kind of fact I need to flag separately?
I live in Australia and usually sell my software remotely through a Delaware LLC. I spent one week in Texas meeting an existing client and, on the last day, signed a renewal expansion that added anoth...
How does the late filing penalty under IRC 6651 work for LLC tax returns?
My foreign-owned LLC was supposed to file its pro forma Form 1120 by April 15 but I did not file until August. What is the late filing penalty calculation? Does it apply even if the LLC does not owe a...
People keep telling me to claim the R&D credit, but my LLC is disregarded and barely has U.S. tax. Is that advice even aimed at me?
I am in Canada and run a software startup through a New Mexico LLC. The engineering team is in Toronto and Montreal, and we are still early enough that my U.S. filing picture is mostly Form 5472 and b...
My broker withheld the full 30% on U.S. dividends even though Japan has a treaty. Is that just because the account setup was wrong?
I am in Japan and use a Delaware LLC as a holding vehicle for U.S. dividend stocks. This year the broker withheld the full 30% on dividends, even though I thought the U.S.-Japan treaty might allow a l...
A U.S. reseller wants to collect from my customers and pay my LLC. Is that cleaner or riskier for tax?
I live in Germany and my SaaS product is sold to manufacturing clients. A U.S. reseller wants to invoice U.S. customers directly and then pay my LLC after keeping its margin. From a commercial point o...
How does the U.S.-UK estate tax treaty help British LLC owners with U.S. property?
I'm a British citizen living in London and I own a U.S. LLC that holds two rental properties in Florida worth about $2 million combined. My worldwide estate is worth approximately $8 million. I know t...
My broker sent a 1042-S for dividend withholding. Do I need to do anything with it if I only invest passively?
I am in Canada and use a Delaware LLC for passive investing in U.S. dividend stocks. The broker issued a 1042-S showing dividend income and withholding. I am not doing anything active besides holding ...
My forex account is active, but most of the money movement is just me funding the LLC. Does that matter separately?
I am in Germany and use a Wyoming LLC for forex trading through a U.S. broker. Trading volume is high, but there are no employees or side businesses. Most of the non-trading activity is just me wiring...
I use my U.S. LLC for startup angel investments. What records matter beyond bank statements?
I am in the UAE and use a Delaware LLC for startup angel investments. Most positions are private SAFEs or direct equity subscriptions rather than public stocks. I have bank transfers and cap table ema...
E-1 Treaty Trader visa and LLC ownership
I operate an import-export business through a U.S. LLC and I am considering applying for an E-1 Treaty Trader visa. My trade is principally between the U.S. and my home country. How does LLC ownership...
Form 8865 Category 2 Filers Explained (Ep. 45)
I have interests in a foreign partnership and need to understand: Form 8865 Category 2 Filers Explained. What are the filing thresholds and requirements?
Can two LLCs share the same registered agent address?
I have two LLCs in Wyoming with the same registered agent. Is it okay for both to use the same address on their Form 1120? Or does this cause problems?
We import inventory and just hired one U.S. warehouse worker. Are customs and payroll now part of the same tax story?
I am in the Philippines and operate a U.S. LLC selling home products. We import inventory and recently hired one warehouse employee in Nevada. Before that, everything was managed by logistics provider...
Is opening a retail store materially different from just having a warehouse in the U.S.?
I am in Germany and run a product company through a Wyoming LLC. We already have a U.S. warehouse, and now a partner wants us to open a small customer-facing retail location in California. Revenue is ...
If my LLC manufactures products in the U.S., is it basically impossible to argue I am not in a U.S. trade or business?
I am a Canadian founder and my Delaware LLC is considering a small U.S. manufacturing setup with local staff and local production. Right now we only import finished goods, but the numbers suggest manu...
My U.S. LLC imports inventory, but my broker handles everything. Do I still need to care about customs records personally?
I run a product business from Singapore through a Delaware LLC and we have started importing small container shipments into the U.S. for resale. A customs broker handles the entries, duties, and paper...
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