On this page, you can find all the details about the free tax declaration called Form 5472, which must be filled out every year, which is the most important issue regarding taxation, but which foreign LLC company owners residing outside of Usa generally do not pay much attention to.
We have discussed in depth in the Taxation in America that if you are a single-member LLC company owner in America, you are not obliged to collect sales tax on a state basis (unless you exceed the limits)
A form that non-U.S. aliens who own a single-owner LLC must fill out annually. Before going into full detail, it is important to underline that this form is only required for single-owner LLCs (or multi-member LLCs where one of the foreign partners has more than 25% of the shares).
What is Form 5472? Who should fill out and declare?
- Foreign-Owned U.S. Companies:
- U.S. companies that are 25% or more directly or indirectly owned by a foreign person or entity. These individuals may be individuals, companies, partnerships or trusts.
- Foreign-Owned U.S.-Registered One-Person LLCs:
- If the LLC is owned by a single foreigner and is a disregarded entity for the IRS, then the LLC must file Form 5472.
- Foreign Companies with Subsidiaries in the USA:
- A foreign entity with a U.S. branch or doing business in the U.S. may be required to complete this form.
What is Form 5472 and why is it filled out?
In 2017, a major tax reform was implemented in the United States. They significantly changed the filing and filing requirements, and also formed penalties for misfiling or neglecting to file.
In the period before the tax changes before 2018, Corp company owners were filling out form 5472. Foreign and single-owner LLCs were not included in this scope.
In 2018, this situation changed and single-owner LLCs were required to fill out this 5472 form. The point here is the amount of revenue generated by single-owner LLCs within the United States and where that revenue goes.
The US Internal Revenue Service (IRS) does not charge any fees etc. just to find out this cash flow. It asks the company owner to fill out the form every year without demanding it.
How and When to Fill Out Form 5472?
How to File: First of all, along with Form 5472, there is another form called Form 1120. In Form 1120, you only need to fill in the name, surname, address and EIN information and leave the rest blank. In addition, it is necessary to fill out the original form 5472 and fax both of them to the IRS.
When Should Forms Be Filed and Submitted? : Both forms must be sent together by April 15th each year at the latest. If it cannot be filled by this date, the period can be extended until October 15 by requesting an additional extension. For example: If you established your company in April 2024, you must fill out and submit this form by April 15, 2024. In other words, it is filled the next year after installation.
Where Should Forms Be Sent? : Forms are sent to the IRS via Fax. Completed forms must be faxed to +1 855-887-7737 at 300 DPI or higher before April 15 (can be done earlier).
Are Forms Paid?
No, there is no fee to submit the forms, you just fill them out and file them with the IRS. However, if you do not know how to fill it out, you may need to get paid help from an expert because it contains quite complex financial information. Please note that some penalties may be incurred if filled in incorrectly.
If you want to get professional support to fill out Form 5472, from Tam Mentor . Tam Accounting has Turkish-speaking Turkish tax experts and they declare form 5472 – 1120 to us at a special price of 350 USD including ITIN.
If the company has no income or expenses, does Form 5472 still need to be faded?
According to the IRS, a single-member foreign LLC does not need to file a 5472 if it had no income during the current year. See Chapter 4 of the IRS documentation for details If you entered your company's EIN number into Stripe, Amazon, Etsy, Walmart, Shopfiy or a bank, opened an account and created certain current transactions on these platforms, you may need to file a form 5472 declaration.
Final Details About Form 5472
As we mentioned above, form 5472 was previously required for Corp type companies, but the IRS made changes to it and made a regulation for LLCs.
However, instead of changing the procedure completely, they implemented the use of form 1120 as a cover and sending it together with 5472 in order to quickly put the system into operation.
- You must have an EIN number to fill out Forms 5472 and 1120.
- The deadline for submitting the forms is April 15 every year.
- Form 1120 to be partially completed (identification information, address and EIN)
- On Form 5472, it is necessary to write the amount of money transferred to the owner of the LLC as of December 31 (you can find out the average amount transferred from your bank).
- Again, on Form 5472, it is necessary to write the amount of money transferred from the owner of the LLC to the LLC (that is, the money you sent to the bank account of your company in the USA, if there is such a transaction) as of December 31.
- You need to deduct your expenses and write down the total profit amount.
- If you received a 1090-K from platforms like Stripe, 2Checkout, Etsy, Walmart, or Amazon (which may come if limits are exceeded), income taxes may come into play. At this stage, inform your accountant and ask him to file a 1040 NR tax return. If you file taxes, you may not need to fill out a 5472. You can order your 1040 NR statement at a discount including ITIN via Tam Mentor ( from this link
Form 5472 here and Form 1120 here .
the official instructions for Form 5472 here and the official instructions for Form 1120 here .
The form cannot be filled online, it must be filled and sent by mail or fax. As of the date we prepared this article, you can prepare and send the form to the contact information below.
Internal Revenue Service
1973 Rulon White Blvd.
M/S 6112, Attn: PIN Unit
Ogden, Utah 84201
Filling out this form is risky. If it is filled incorrectly, the form will be treated as not sent, and there will be serious penalties. Therefore, it is recommended that you seek professional support on this issue.
We recommend that you take this form into consideration and do not neglect it, in order for your company and your business in the USA to run smoothly and to avoid penalties.
Sources: https://www.avalara.com/taxrates/en/state-rates/kentucky/kentucky-sales-tax-guide.html https://www.irs.gov/instructions/i5472
58 Comments . New Comment
I formed an llc in the state of Wyoming in September 2023. I did not make a sale in 2023, I made a sale in 2024. However, in 2023, I sent small amounts of money to my company bank accounts from my own personal accounts and from third parties to check the accounts and audit their activity. I did not earn any earnings in 2023. As far as I know, I need to fill out form 5427, but some exorbitant prices are given for it. I am waiting for your suggestions regarding these issues, tax declaration and current prices. Thanks
Hello, you can work with full accounting on this issue, the prices are quite affordable compared to competitors in the market. Itin service is also included in the prices, you can check it out if you want.
https://www.tammentor.com/courses/1120-5472Statement?ref=90fc42
Greetings,
my company was established in October 2023. In 2023, I received a payment of $50 from Amazon to the company bank account. Is it enough to fill out form 5472?
Hello,
If you have not received an extra tax declaration or similar document from Amazon, you can fill out 5472.
I formed the company on January 10, 2024. Can form 5472 be filled out while filing taxes? Or is it necessary to fill it in between January and April?
Hello, you don't need to do this this year, you can declare next year.
I have not made any transactions with the company in the USA. Is it necessary to file a tax return for an llc formed in Wyoming? Is a declaration of no action required? How long does it take to do this?
As additional information: We obtained the EIN Number together. I have not received an ITIN number yet.
Please read: https://startupsole.com/yardim/
Hello, does one need to fill out the BE-12 form in a Foreign-Owned Single-member LLC?
No, only 5472 needs to be filled out. The IRS does not have a form called BE-12.
Hello, do you know that the cpa I filled out the 5472 form tells me that you need to fill out the BE-12 Form as well?
Which cpa do you work with?
As far as we know, a form called BE-12 is not a form related to IRS. If you want to ask them why this investor survey is requested. First of all, you can do a google search.
Hello,
the information we share is very valuable. There's a little question that's been bothering me. I filled out and mailed the forms for 2021 for the company I founded in 2021. I closed the company in November 2022 and mailed the eIN number to cancel it. Do I need to fill out tax forms for 2022 by April 2023? Can you help me?
Hello,
Since your ein has been cancelled, you no longer need to submit a declaration.
Thank you for your quick response, Mr. Orçun. I'm just asking to be sure. I have sold 3-5 pieces for 5 dollars in 2022. I closed my company in November 2022 and sent an e-mail to cancel the EIN number. I am confused now because the accountant I worked with for 2021 reminded me to declare for 2022. Even if you have closed the company, the approach is that you need to fill out and send the tax forms. Is it written to get money or because it is necessary? I wanted to consult with you?
Consult another advisor if you wish, but can the canceled business and the closed company be declared forever? It's a bit ridiculous, but maybe there may be a different situation, it would be useful to ask another consultant because it is difficult to guess whether there was a mistake or took a different action when making the last declaration.
Hello, my company was founded on 29 December 2022, now I need to fill out these forums on 29 December 2023, right?
Hello, have you received a 1099-K tax return form from platforms such as Stripe or Amazon? If you specify your turnover and business type, we can give you information on which form you should fill out.
You can send an e-mail to support startupsole.com.
Hello, is there an ITIN requirement anywhere in 5472 or 1120? I understand that I am in the personal information, but I do not have an ITIN. If I send you the ITIN, will 5472 and 1120 be accepted?
Additionally, even if the company does not generate income or you do not, 1040 NR appears to be mandatory on the IRS website. But ITIN is a must for him, and ITIN comes in 9-12 weeks. What happens if we declare that we applied for ITIN? How is tracking provided?
Hello,
there is no ITIN requirement in forms 5472,1120. Those who have ITIN can write. Otherwise, just write EIN in the relevant field. Although this situation is still not very clear, according to the comments of many CPAs, 1040 NR is required for intra-US income (or in cases where 1099 K is received from any platform).
It is said that those who do not have this status can submit an income and expense activity report with 5472-1120 proforma, which is how most company owners have reported for a few years.
ITIN is not required for 5472-1120, but ITIN is required if 1040 NR is to be filled. If there is no ITIN when filing 1040 NR, W7 (and other necessary documents) are added to the declaration forms and an ITIN application is sent. In this case, an ITIN is assigned by the IRS, your tax is recorded in this ITIN number, and the tax refund payment is completed when the time comes.
We hope it was useful.
Hello. I'm waiting for the company to be formed. Afterwards, when it comes to opening a bank account, it will be December. If I do not make a sale 1 month before the end of the year, I need to fill out form 1020+5472, and if I make a profit, I need to fill out additional form 1040NR. For 1040NR, I need to pay 300 USD and get ITIN. Am I right?
If you make a profit, you do not have to fill out 1040 NR. If your source of income is from within the United States, you need to file a 1040, and that income must reach a certain level. There is no requirement for every profitable business to give 1040 NR. The issue can be confusing as it varies depending on the income source and turnover amount of the businesses. If you wish, you can contact Turkotaxacc, our contracted business partner in the USA, and get service at an affordable price for filling out form 5472, including ITIN, or 1040, if necessary. You can contact them via the contact form and explain your situation and get price and process information.
Even if it was at the last minute, I had a 5472 form made by a Pakistani from Fiver. I received the SMDI. I will send it myself by fax.
1-I couldn't see anything to sign in these 5472 and 1120 forms. Do we need to sign?
2-I also went to fax.plus, I think it's free for up to 10 pages. 5472 has 3 pages, 1120 has 5 pages, 2 of which make a total of 8 pages. I guess I can send it free of charge via fax.plus.
3- Additionally, "In addition, the tax identification number (TR ID No.) of the country where the non-US LLC owner is located must be entered as 5472." You wrote it, but the Pakistani did not ask me for my TR ID and it does not say TR in the form. Is it invalid in this way?
4- Lastly, you wrote that you can send it to this address, but do we need to send the fax directly to the number? I wanted to ask since I will be sending a fax for the first time.
Internal Revenue Service
1973 Rulon White Blvd.
M/S 6112, Attn: PIN Unit
Ogden, Utah 84201
Sorry for asking so many questions
Why didn't you ask them these questions? After all, we do not fill out the form. Even though it is not very clear, let's answer it within the framework of logic;
1. Yes, it is necessary to sign. The signature writes the date and signature. It is at the bottom of some pages.
2. There may not be a free faxplus membership, there are other free systems, you can look.
3. This is not necessary anymore
. 4. It can be sent both by mail to the address or by fax. Sending by fax is faster and is more affordable.
I asked him these questions too, but since I trust you more, the answer I get from you is more valuable to me.
By the way, I got more detailed information. It was not necessary to sign 5472, only 1120 was sufficient. There is no space to sign in 5472 anyway. In 1120 they have indicated the place to sign at the bottom of the first page.
Thank you for your answer.
Thanks for the feedback. It's good that you sorted it out.
Sir, thank you very much for the information, I had these forms prepared through Fiverr, but I will be responsible for sending them. Can I sign it online and send it using the fax application you recommend? Also, the free application gives 10 pages, would it be appropriate for me to send it this way?
You're welcome, yes, get the minimum package from fax.plus, I think they were also giving extra credit from our reference. You can send it without any problems with this application, it does not matter if it is 10 pages, it will do the job.
Thank you sir, will there be any problems with my signature with sejda.com?
No problem, add your signature with sejda and make it a pdf again and save it.
Thank you sir, is there any response after sending? I asked because there was something missing or wrong.
By the way, friends who shop with Fiverr can make their first purchase with a 20% discount by using the coupon code "20START".
Mr. Mert,
As a result of any application, declaration or document sent by the IRS, there is no response; all you have is a fax transmission report. Unfortunately, they do not have a service such as return or notification. Just fax it again every few days, just in case.
By the way, thanks for the coupon, it will be useful for those who need it.
You have great articles and provide great information. I think you should also explain how to fill out Form 5472. At least you will have done something great to benefit people who have never made a sale.
I established SM LLC on 30.10.2021. I didn't make any sales in 2021. I don't have enough money to fill out the form. I'm wondering how I can do it. I'm sure there are many people like me.
Thank you very much for your comment.
Explaining the process of filling out a tax form or declaration on a blog is quite risky. Penalty etc. to someone due to possible changes or mistakes made. If it happens, we will be held responsible.
For smlls who have never made any turnover, there are many people who do this for $10 on fiverr.com. You can get service from them.
I am in the same situation. Thanks to you, we opened the company with the information here, and now we are faced with form 5472. But as you said, I think we will turn to Fiverr. I would be happy if non-active friends could inform me about which Fiverr seller they received and what kind of service they received.
Check this out 😉
https://bit.ly/36tDnjZ
Hello. I founded my company in November 2021, I did not have any activities, do I need to submit a form in April 2022?
Hello, yes you need to send a form stating that you have not shown any activity.
A few of our followers hired an expert from Fiverr and completed this job at a very affordable price. It is useful to research and get support from a professional instead of receiving a penalty letter. For companies that are not active, this service is provided at a more affordable price.
Hello Ahmet, we are in the same situation, how did you fill out the forms?
Hello, I had it prepared by a Pakistani named shabbirmoon from Fiverr for 23 dollars. It is prepared on your behalf, it is your responsibility to sign and send it. At accountants, the price starts from $400. There is also a course on Udemy for 400 liras on 5472 and 1120. If there is a discount, I will buy the course. It seems very simple to prepare. A $25,000 fine would shut down a ridiculous company.
Hello,
I also follow the course on Udemy, but it is not on sale. In fact, 3 or 4 people can agree and buy together. All in all, it is a 1.5 hour training. Say what?
Yes it does. If there are a few people who want to buy it jointly, I can record the videos with a screen recorder and make them available along with supporting documents. Those who are interested ahmet486469@gmail.com .
Unfortunately, I just saw your messages. I say unfortunately because I agreed with someone for 75 dollars and sent the money.
When we take the course you mentioned, will we be able to make our tax declaration without an accounting firm? There are no sales at the moment, but next year there will be buying and selling, the business will grow a little, that's why I'm asking.
The IRS does not require a fee for declaration. As the company owner, you can also declare. I am not someone who understands accounting, so I don't know if we will understand the subject at the end of the 1.5-hour course. It would be better to look and learn rather than spending so much money on accountants.
Hello Mr. Tayfun. If you are considering taking on a partner. Mr. Ahmet shared an e-mail. If you think so, let me know. We are 3 people, including you. We can add a few more people and get partners.
With this course to be purchased, can we only transact on non-operating companies? I also formed my company, but I am not active.
We do not know the exact content of the course. There may or may not be a course or activity on how to fill out this form. Everyone watches it and adapts it to their own needs.
I had it done by the same Pakistani guy as you, for 25 dollars, and he also did the shipping himself, I hope he sent it :) I signed it.
Mr. Engin, I cannot make payment on fiver. Which bank card did you pay with?
Hello Mr. Taner, how did you solve the payment problem? I'm having the same problem, I tried a few different cards but it didn't work.
Good evening Mr. Ahmet
, I am having the forms done by Shabbirmoon,
but he said the price is high.
He says he will give this price only on recommendation.
Hello. There are more than one person doing this job on Fiverr, you can decide who to hire by looking at their previous work. I just shared my experience as a guide, it doesn't mean I recommend shabbirmoon. Apart from this, there is no harm in requesting a discount by giving my name and surname and saying "an old customer recommended you".
Thank you for the enlightening information. I have a question.
I think we need to submit the declaration between 01.01.2021 and 31.12.2021 by 15.04.2022. Should the declaration of a sale made in January 2022 be kept for the next year or should it be added to this period?
You're welcome You give the previous year, that is, until 31.12.2021. This year's events happen next year.
Hello sir, the fees for CPAs are seriously high in my opinion. Is there a suitable CPA for us?
Hello,
Unfortunately, their prices are high, I know of no affordable ones, but I recommend you do your research.
Hello, you say that the 5472 form must be filled out by April 15th. What if we form an LLC company today or let's say we formed it last week? Does it need to be filled out again for 1 week or 2-3 days, or does a certain period of time have to pass?
Hello,
Please do not misunderstand, this form is not asked to be filled out by me or another writer friend of mine, but by the US Internal Revenue Service (IRS).
Even if you fill it out before April, it needs to be filled out a year later. Let's say you formed an LLC in the same year, for example in February 2021, you need to fill it out in the following April, that is, in 2022.