Foreign-owned and non-resident companies
Forming and running a US company from outside the US: what foreign owners can and cannot do, when US tax applies, and the filings due each year.
29 guides in this topic
- Can a non-US resident own a US LLC4 minute readYes. What a non-resident needs to form and own a US LLC, the limits on S corp status and working in the US, and the filings that follow.
- How to open a US LLC from outside the US5 minute readHow a founder abroad forms a US LLC, gets an EIN without an SSN, opens a bank account and sets up yearly filings, in the right order.
- Do foreign-owned US LLCs pay US tax5 minute readWhen a US LLC owned by a non-resident owes US income tax: effectively connected income, the 30% withholding, tax treaties and state tax.
- Foreign-owned single-member LLC: every filing due each year5 minute readEvery yearly filing for a US single-member LLC owned by a non-resident: Form 5472, the pro forma 1120, Form 1040-NR and state reports.
- Best state for a non-resident LLC4 minute readWyoming, New Mexico or Delaware? How the usual states compare for owners living outside the US on yearly cost, deadlines and privacy.
- Effectively connected income explained for foreign owners3 minute readWhat effectively connected income is, the tests that decide it, how it is taxed differently from passive US income, and what it means for foreign LLC owners.
- US trade or business: what counts for a foreign-owned LLC3 minute readWhat counts as a US trade or business for a non-resident or foreign-owned LLC: activity, agents, partnerships, inventory and treaty rules.
- Do you need a US address to form an LLC2 minute readWhich US addresses an LLC actually needs: the registered agent's in-state address, mailing and principal office addresses, the IRS, and what banks ask for.
- Do you need a visa to own a US company2 minute readOwning a US company needs no visa, but working in the US does. What owners can and cannot do from abroad and on visits, and how the rules interact with tax.
- How non-residents take money out of a US LLC3 minute readHow a non-resident takes money out of a US LLC: single-member transfers, partnership distributions, C corp dividends, reporting and withholding.
- W-8BEN vs W-8BEN-E vs W-8ECI: which form to give3 minute readWhich W-8 form a foreign person gives a US payer: W-8BEN for individuals, W-8BEN-E for entities, W-8ECI for effectively connected income, plus the LLC rules.
- Resident or non-resident for US tax: the substantial presence test3 minute readHow the substantial presence test decides US tax residence: the 31-day and 183-day rules, weighted days, exempt days, and the exceptions.
- LLC or C corp for a foreign founder3 minute readLLC or C corporation for a founder outside the US: how each is taxed, dividend withholding, filings, investors, and your home country's rules.
- Can a non-resident own an S corporation2 minute readWhy nonresident aliens cannot own S corporation shares, what happens if an S corp shareholder moves abroad or marries a non-resident, and the alternatives.
- Does a foreign LLC owner need to file a personal US return2 minute readWhen a foreign owner of a US LLC must file a personal US return on Form 1040-NR, worked through common situations, and what the LLC files either way.
- Dormant US LLC: what you still have to file2 minute readWhat a US LLC with no activity still has to file: state annual reports and taxes, the registered agent, Form 5472, and federal returns for each tax status.
- Can a non-resident be on the payroll of their own US company3 minute readWhether a non-resident owner can be paid a salary by their own US LLC or corporation, how entity type decides it, and tax on work done abroad.
- Tax treaties and your US LLC: how they change what you owe3 minute readHow US tax treaties affect a foreign-owned LLC: permanent establishment, reduced withholding, claiming on W-8BEN and Form 8833, and the limits.
- The 30% withholding on US-source income explained3 minute readHow the 30% US withholding on non-residents' US-source income works: what it covers, what is exempt, treaty rates, Forms W-8, 1042-S and refunds.
- Foreign-owned multi-member LLC: Form 1065, K-1s and partner withholding6 minute readTaxes for a foreign-owned multi-member LLC: Form 1065 and K-1s, Schedules K-2 and K-3, section 1446 partner withholding, and partners' returns.
- US LLC and tax in your home country: why no US tax does not mean no tax3 minute readWhy a US LLC with no US tax can still be taxed where you live: residence-based tax, how countries classify LLCs, management rules and reporting.
- How to close a foreign-owned US LLC and file the final returns3 minute readHow a non-resident closes a US LLC: the final Form 5472 and pro forma 1120, the state dissolution, platforms and bank, and closing the IRS account.
- Signing and filing US forms from abroad: e-signature, fax and mail3 minute readHow to sign and file IRS forms from outside the US: which forms can be e-filed, faxed or mailed, electronic signatures, couriers and proof.
- US LLC for founders in Pakistan3 minute readHow founders in Pakistan form and run a US LLC: banking and payment platforms, US filings, Pakistan tax on the income, and State Bank rules.
- US LLC for founders in India3 minute readHow founders in India form and run a US LLC: US filings, Indian tax on the income, place of effective management, Schedule FA, and RBI rules.
- US LLC for founders in the UAE3 minute readHow founders in the UAE form and run a US LLC: US filings, no US-UAE tax treaty, UAE corporate tax and the management test, and banking.
- US LLC for founders in the UK3 minute readHow UK founders form and run a US LLC: US filings and the US-UK treaty, how HMRC treats LLCs, central management and control, and the 2025 changes.
- US LLC for founders in Canada3 minute readHow Canadian founders use a US LLC: the US-Canada treaty, why the CRA treats LLCs as corporations, double tax risk, T1134 and T1135, and alternatives.
- US LLC for founders in Nigeria3 minute readHow Nigerian founders form and run a US LLC: US filings, no US-Nigeria tax treaty, the Nigeria Tax Act 2025, the management test, and payments.