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.
How do I fill out Form 8949 for cryptocurrency trades in my foreign-owned LLC?
My foreign-owned LLC made about 150 crypto trades last year on Coinbase Pro. I understand I need to report these on Form 8949, but the logistics are confusing. Do I list every single trade individuall...
Form 3520: Foreign Trust and Gift Reporting Requirements (Ep. 42)
I have income from outside the U.S. and need guidance on: Form 3520: Foreign Trust and Gift Reporting Requirements. What are my reporting obligations and how do I stay compliant?
What is Oregon's Corporate Activity Tax and when does it apply to a foreign-owned LLC?
I heard Oregon has a new Corporate Activity Tax (CAT) on top of its regular income tax. My LLC sells software subscriptions and some Oregon customers are signing up. My LLC is formed in Wyoming and I'...
CP2000 Notice Case Study: Real-World Response Scenario (Ep. 7)
I received a CP2000 notice from the IRS: CP2000 Notice Case Study: Real-World Response Scenario. What should I do and how do I respond properly?
Economic nexus vs physical nexus: which one matters more for my foreign-owned LLC?
I run a SaaS business through a Wyoming LLC. I'm a non-resident alien from the UK and I have no physical presence anywhere in the U.S. But I have customers in 35 states. Do I have economic nexus in al...
Same-Sex Spouse Filing Status (Ep. 59)
I need help with my filing status: Same-Sex Spouse Filing Status. What are the rules and how do I determine what applies to my situation?
Does the U.S.-Japan estate tax treaty protect my U.S. LLC assets?
I'm a Japanese citizen living in Tokyo with a Delaware LLC that runs a SaaS business. The LLC has about $3 million in value including receivables, IP, and a U.S. bank account. I also own a small condo...
MFJ with NRA Spouse Qualification (Ep. 58)
I need help with my filing status: MFJ with NRA Spouse Qualification. What are the rules and how do I determine what applies to my situation?
Can I pay myself a salary from my single-member LLC?
I'm the only owner of my LLC. Can I pay myself a salary? How does that work with a disregarded entity for tax purposes?
My doola agent set up the LLC but I never got a CP 575 — help?
doola formed my LLC and supposedly got my EIN but I never received the CP 575 letter. They just gave me the EIN number. Is that enough or do I need the actual letter?
IRC 1445 FIRPTA withholding — does the buyer really hold back 15% of the entire sale price when I sell my U.S. property?
I'm a Mexican citizen and I'm selling a condo in Arizona that I hold through my LLC. The title company said they need to withhold 15% of the gross sale price under IRC 1445. The condo is selling for $...
What goes on Form 8858 Schedule M and how do I report transfers to my foreign entity?
I filed Form 8858 last year for my foreign disregarded entity but my preparer left Schedule M blank. This year I transferred about $30,000 from my U.S. account to the entity's foreign bank account for...
Automatic 2-Month Tax Extension for U.S. Citizens Abroad (Ep. 52)
I'm confused about tax deadlines: Automatic 2-Month Tax Extension for U.S. Citizens Abroad. When exactly do I need to file and what extensions are available?
Do states have their own FIRPTA? I'm selling in California and someone mentioned a state withholding too.
I'm a foreign national from Sweden selling a rental property in Los Angeles through my LLC. I've been preparing for the federal FIRPTA withholding (15%), but my real estate attorney just told me Calif...
What taxes does a foreign-owned LLC in Nevada actually have to pay? I heard about a commerce tax.
I'm considering Nevada for my LLC because of the no income tax. I'm a French citizen running a SaaS business. But someone mentioned a "commerce tax" that kicks in at $4 million in revenue. Can someone...
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...
QSS Eligibility: 50% Cost of Home Rule (Ep. 74)
I need help with my filing status: QSS Eligibility: 50% Cost of Home Rule. What are the rules and how do I determine what applies to my situation?
When is crypto income treated as capital gains vs. ordinary income for a foreign LLC owner?
I'm confused about the difference between capital gains and ordinary income for crypto. My LLC has several types of crypto income: trading profits, staking rewards, mining income, and airdrop tokens. ...
Wise Business vs a traditional U.S. bank account — which is better for my foreign LLC?
I see a lot of foreign LLC owners using Wise Business instead of a regular U.S. bank. Is Wise Business actually a bank account? Can I use it for everything a regular bank account does — receive ACH pa...
What's the difference between Form 5472 and FBAR? Do I need both?
I keep seeing mentions of both Form 5472 and FBAR for foreign LLC owners. Are these the same thing? Do I need to file both? What's the difference?
I moved to the US last year — does living here make me a 'U.S. person' for my LLC taxes?
I'm a UK citizen who moved to the United States in 2025 on an E-2 visa. I formed a Wyoming LLC before I moved. Now that I'm living in the US, am I still considered a 'foreign person' for Form 5472 pur...
Form 3800 Mechanics: How the General Business Credit Works (Ep. 26)
I'm trying to maximize my tax credits: Form 3800 Mechanics: How the General Business Credit Works. How do I calculate and claim these credits correctly?
How is Google AdSense and advertising revenue taxed for my foreign-owned LLC?
I operate content websites through my foreign-owned LLC (Delaware) and earn money primarily from Google AdSense, Mediavine, and sponsored posts. I'm from Nigeria and everything is managed from Lagos. ...
Does FIRPTA treat commercial real estate differently from residential property?
I own a small strip mall in Texas through my foreign-owned LLC and I'm thinking about selling. Most of the FIRPTA information I find online talks about houses and condos. Are the rules different for c...
When should a foreign LLC owner elect C-Corp status?
I have been running my US LLC as a disregarded entity for two years now. My revenue has grown substantially and I am wondering if it makes sense to elect C-Corp status using Form 8832. At what income ...
What is IRC 482 transfer pricing and can the IRS reallocate income between my foreign company and my U.S. LLC?
I own a software company in Ireland and a separate LLC in Delaware. My Irish company licenses software to the U.S. LLC, which sells it to U.S. customers. My CPA warned me about IRC 482 'transfer prici...
Form 8865 Category 4 Filers Explained (Ep. 47)
I have interests in a foreign partnership and need to understand: Form 8865 Category 4 Filers Explained. What are the filing thresholds and requirements?
My accountant charged me $800 for a zero-income Form 5472 filing. Is that normal?
I have a single-member LLC with literally zero transactions. My CPA charged $800 to file Form 5472 + pro forma 1120. That seems really high for what should be a simple return. What do others pay?
What are all the FIRPTA deadlines I need to know about? I keep finding different dates and I'm confused.
I'm planning to sell my investment property through my foreign-owned LLC sometime this year. I've been researching FIRPTA and there seem to be multiple deadlines — 20 days for something, 90 days for s...
Mixed-Use Vehicle Deduction: One Car for Business and Personal Use (Ep. 13)
I'm new to U.S. taxes and need to understand: Mixed-Use Vehicle Deduction: One Car for Business and Personal Use. Can someone explain this in straightforward terms?
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