Including Deadlines and How to Properly Fill Them Out
As a non-U.S. resident business owner, staying compliant with U.S. tax laws is essential.
Whether you’ve just set up your business, obtained your EIN and ITIN numbers, or started generating revenue, understanding your tax filing obligations is crucial to avoiding fines or penalties.
Maybe you’ve filed taxes before and faced penalties, or perhaps this is your first time.
Regardless, if you’ve worked or earned income in the U.S. over the past year and live outside the USA, you’ll need to file the following tax forms for this year.
- 1040NR (Non-Resident Alien Income Tax Return)
- Pro-Forma 1120 with 5472 (Foreign-Owned LLC)
- 1065 (Partnership Return)
- 8832 (Entity Classification Election)
- 1099 (Miscellaneous Income)
In this article, I’ll cover everything you need to know about these 5 key tax forms required for non-U.S. residents with businesses in the United States–including deadlines and how to fill them out correctly.
Form 1 – 1040NR (Non-Resident Alien Income Tax Return)
If you’re a non-U.S. resident who earned money in the U.S. from a business, real estate, or any other source, you must file Form 1040NR.
This form reports your U.S. income and is required ONLY if you’ve earned income in the U.S.
- Deadline: June 15th
- Purpose: Report U.S.-earned income
Form 2 – Pro-Forma 1120 with 5472 (Foreign-Owned LLC)
For non-U.S. residents who own a foreign single-member LLC, you’ll need to file Form 1120 along with Form 5472. The 1120 is for corporate income reporting, while the 5472 provides details on your foreign ownership of the LLC.
- Deadline: April 15th (with Form 5472 attached)
- Required Information:
- Startup costs
- Capital contributions
- Distributions to/from the business
- Payments to yourself or other companies you own
Form 3 – 1065 (Partnership Return)
If your LLC has two or more owners, you’ll need to file Form 1065. This applies even if one partner is a U.S. resident, and the other is a non-U.S. resident.
- Deadline: March 15th (file electronically)
- Required Information:
- Business income and expenses
- Profit-sharing agreements between partners
- Balance sheet showing business sales
Important Things to Note:
- Incorrect filings can result in penalties.
- LLCs with multiple partners require additional documentation.
- Remember to renew your LLC with the state each year, as renewal deadlines vary by state.
Form 4 – 8832 (Entity Classification Election)
For corporations, Form 8832 allows you to elect how your corporation is taxed.
- Deadline: April 15th
- Required Information:
- Corporation income
- Business expenses
- A balance sheet
- You’ll pay a 21% federal income tax on profits.
Form 5 – 1099 (Miscellaneous Income)
The 1099 form is for U.S. business owners paying employees or contractors. If you pay someone for services or work performed, you must issue this form.
Paying Your Taxes:
After completing your forms, you’ll need to pay any taxes owed through the EFTPS.gov system (Electronic Federal Tax Payment System). While the system can be tricky to navigate, hiring a CPA can simplify the process and ensure everything is filed correctly.
Extensions and Deadlines:
If you can’t file your taxes by the April 15th deadline, you can request an automatic 6-month extension. This gives you until October 15th to file and pay any taxes owed.
If you need assistance with any of the following, feel free to book a free 15-minute consultation:
- Filing tax forms
- Renewing your LLC
- Opening business bank accounts (in the United States)
- Obtaining an EIN or ITIN
- Creating your LLC
- Securing a U.S. business address
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