Guides
Form 5472 and pro forma 1120: a 2026 guide for foreign owners of a U.S. LLC
By Katiuska Bustillos, founder and tax preparer Reviewed by Katiuska Bustillos Published: Updated:
Applies to returns for tax years 2025 and 2026, under the IRS instructions revised December 2024.
Share on WhatsAppShort answer
If you live outside the United States and are the only owner of a U.S. LLC, your LLC must file Form 5472 with a pro forma Form 1120 every year in which there was any transaction between the LLC and you, and putting money in to open it or paying its expenses already counts as one. No tax is paid with it, but it cannot be filed online: it goes by fax or mail, is due April 15, and the penalty for not filing is $25,000.
Not sure whether your LLC has to file Form 5472? Take the free test (1 minute) →
What Form 5472 is
Form 5472 is an information return: it does not compute tax, it tells the IRS what transactions took place between a U.S. company and its foreign owners or related parties. It is required by section 6038A of the Internal Revenue Code.
Since tax year 2017, Treasury regulations treat a single-member LLC owned by a foreign person as a corporation for this purpose only. For everything else it is still a disregarded entity and does not file a regular income tax return. That is why the filing is a 5472 attached to a 1120 that only serves as a cover sheet.
Who has to file it
The LLC files it, not you personally, when all three apply:
- It is an LLC formed in a U.S. state.
- It has one owner, and that owner is foreign: a person who is not a U.S. citizen or tax resident, or a foreign company.
- During the year there was at least one reportable transaction between the LLC and its owner (or a related party).
It does not matter which state the LLC was formed in (Wyoming, Delaware, New Mexico, Florida, North Carolina…) or whether the LLC had any income.
If your LLC has two or more members, it is usually taxed as a partnership and has different obligations, starting with Form 1065. We review that case separately.
Which transactions are reported
This is the most common mistake: thinking that “if the LLC sold nothing, there is nothing to report.” For a foreign-owned LLC, the IRS instructions treat as reportable any movement of money or property between the LLC and its owner, including amounts related to forming, maintaining or dissolving the LLC. For example:
- Contributions: money you put into the LLC's account.
- Distributions: money you take out of the LLC for yourself.
- Expenses you pay for the LLC with your personal card or account: formation, registered agent, state annual report, software, a domain.
- Loans between the LLC and you, in either direction.
- Sales, purchases, services or rents between the LLC and you or your other companies.
In practice: almost every foreign-owned LLC must file Form 5472 at least for the year it was formed, because paying for its formation is already a transaction with its owner.
What the “pro forma” 1120 is
Form 1120 is the corporate income tax return. Your LLC is not a corporation, so it does not fill it out in full: it only uses it as a cover for the 5472. You complete the LLC's name, address and EIN and a few items on page 1, and write “Foreign-owned U.S. DE” across the top. No tax is computed.
When it is due
Form 5472 is due on the same date as the 1120:
| Situation | Deadline |
|---|---|
| Calendar-year LLC (the usual case) | April 15 of the following year |
| With an extension (Form 7004 filed by April 15) | October 15 |
| If the date falls on a weekend or holiday | The next business day |
The extension gives more time to file, but it has to be requested on time: a 7004 sent after April 15 does not count.
How it is filed
A foreign-owned LLC cannot file Form 5472 electronically. The IRS instructions give two ways:
- By fax to 855-887-7737.
- By mail to: Internal Revenue Service, 1973 Rulon White Blvd., M/S 6112, Attn: PIN Unit, Ogden, UT 84201, USA.
Keep the fax confirmation or proof of mailing: it is your evidence that it was filed on time. The 7004 extension is sent the same way.
What information you need
- The LLC's name, address and EIN.
- Your details as owner: name, address, country of citizenship or organization, countries where you do business, and your home-country tax ID number (FTIN), if you have one.
- The amount of each type of transaction for the year: contributions, distributions, expenses you paid, loans, and so on.
- The records that support them: the LLC's bank statements, invoices and payments. The law requires keeping them.
Form 5472 and the 1120 ask for the LLC's EIN, so get it well before April 15. International applicants cannot use the online EIN application: it is requested from the IRS by phone, fax or mail (see how to get an EIN as a non-U.S. resident). If the return is due and you applied but have not received it yet, the IRS says to write “Applied For” and the date you applied in the space for the number.
The penalty: $25,000
Not filing Form 5472, filing it late or filing it incomplete carries a penalty of $25,000 per form, per year. If the IRS notifies you and it is still not filed 90 days later, another $25,000 is added for each additional 30 days.
And while it is not filed, the period the IRS has to examine that return does not start running.
The penalty does not depend on income: it applies just the same to an LLC with no activity.
If you did not file in past years
This happens a lot: many companies that sell LLC formation never mention that Form 5472 has to be filed afterwards. If that is your case, the sooner it is fixed, the better. There are ways to ask for the penalty not to apply when there was reasonable cause, and every case is different. We review yours before anything is filed.
Common mistakes
- “My LLC had no income, so I file nothing.” Form 5472 depends on transactions with the owner, not on income.
- Forgetting contributions and expenses paid with a personal card. They are reportable transactions.
- Trying to file it with e-file software. It is not accepted in this case: it goes by fax or mail.
- Requesting the extension late. Form 7004 has to arrive by April 15.
- Confusing it with FinCEN's BOI report. Since August 2026, LLCs formed in the U.S., including foreign-owned ones, no longer file a BOI report. Form 5472 is still required.
How we help
At BMS of NC we prepare and file Form 5472 with its pro forma 1120 every year. We go through your transactions so none is missing, fax it with confirmation and remind you before every deadline. If you have years not filed, we start there. In English or Spanish, online, from any country.
Frequently asked questions
Do I have to file Form 5472 if my LLC had no income?
Usually yes. Form 5472 depends on transactions between the LLC and its foreign owner, not on income. Putting money into the LLC's account or paying its formation, registered agent or state annual report with your personal card are reportable transactions, so almost every foreign-owned LLC must file it at least for the year it was formed.
Why does a foreign-owned LLC file a pro forma Form 1120?
Because the pro forma 1120 only serves as a cover sheet for Form 5472. Treasury regulations treat a single-member LLC with a foreign owner as a corporation for this purpose only. You complete the LLC's name, address and EIN and a few items on page 1, and write “Foreign-owned U.S. DE” across the top. No tax is computed.
When is Form 5472 due, and can I e-file it?
It is due April 15 of the following year, or October 15 if you filed Form 7004 by April 15. A foreign-owned LLC cannot e-file it: it goes by fax to 855-887-7737 or by mail to Internal Revenue Service, 1973 Rulon White Blvd., M/S 6112, Attn: PIN Unit, Ogden, UT 84201. Keep the fax confirmation as proof. BMS of NC can help with this.
What happens if I didn't file Form 5472 in past years?
Not filing, filing late or filing incomplete carries a penalty of $25,000 per form, per year, and it applies even to an LLC with no activity. While the form is not filed, the period the IRS has to examine that return does not start running. The sooner it is fixed, the better: there are ways to ask for the penalty not to apply when there was reasonable cause.
Want us to review it for you?
Free 15-minute consultation on WhatsApp or video call. We tell you what you need to file and a fixed price, before we start.
Official sources
- Instructions for Form 5472 (IRS, rev. December 2024)
- About Form 5472 (IRS)
- 26 CFR 1.6038A-1: foreign-owned single-member LLC treated as a corporation for this purpose
- 26 U.S.C. §6501(c)(8): the assessment period does not run while the information is missing
- Employer Identification Number (EIN) for international applicants (IRS)
- Beneficial ownership information (BOI): August 2026 final rule (FinCEN)
Related guides
- Bank account for a non-resident's U.S. LLC: Mercury, Relay, Wise and traditional banks
- How to get an EIN for your LLC as a non-U.S. resident
- What taxes does a non-resident's U.S. LLC pay?
- North Carolina LLC: formation, annual report and obligations
This guide is general information about U.S. tax rules and does not replace advice on your specific case.