US Company Formation from Belgium (2026): LLC or C-Corp, the Cayman Tax and Classification, the US–Belgium Treaty, Costs and Banking
Forming a US company from Belgium: LLC or C-Corp, Belgian classification, the look-through Cayman tax, place of management, the treaty, costs and banking.
Belgian companies and founders in Brussels, Antwerp and Ghent trade extensively with the USA, and Belgian startups often expand there early. A US company lets them sign US contracts, hire in the USA, use US payment platforms and raise from US investors, without leaving Belgium.
Belgium has a distinctive rule that matters for US LLCs: the look-through tax on legal arrangements, known as the Cayman tax, which can tax a Belgian founder directly on the income of certain low-taxed foreign entities. This guide explains how US company formation from Belgium works and what to agree with your Belgian adviser.
Short answer: a resident of Belgium can own 100% of a US corporation or LLC, formed remotely, and a Belgian company can own a US subsidiary. With UCB, a Delaware corporation with EIN is $308 all-in, and a Wyoming LLC with EIN is $249. The US–Belgium treaty taxes business profits in the USA only through a US permanent establishment and generally limits dividend withholding to 15% for individuals. On the Belgian side, the Cayman tax can look through foreign entities with legal personality that are untaxed or taxed below 15%, taxing the Belgian founder as if they received the income directly, and the entity must be reported each year. A single-member LLC that pays no US tax needs a Belgian adviser's review before you form. Most Belgian founders use a C-Corporation for an operating business.
Can a resident of Belgium own a US company?
Yes. US states place no restriction on the nationality or residence of owners. Belgian citizens and residents of Belgium can own 100% of a US LLC or corporation, be its only manager or director, and form it entirely remotely, with no US visa, Social Security number or US address. Every US company needs a registered agent in its state, included for the first year in every UCB formation. See registered agent explained.
Why founders in Belgium form a US company
- The US market: the largest consumer and business market in the world, with buyers who often prefer a US vendor.
- US investors, who invest in Delaware corporations. See raising US investment as a foreign founder.
- A US entity for US contracts, staff and liability, separating the US business from the home company. See US subsidiary for a foreign company.
- Payments in dollars, through a US bank account and US payment platforms. See Stripe for non-residents.
The tax picture for residents of Belgium
The US–Belgium tax treaty
Belgium has an income tax treaty with the USA. Dividends from a US corporation to a resident of Belgium can be withheld at a reduced treaty rate, generally 15% for an individual shareholder, instead of the standard 30%, if the owner gives the payer a valid W-8BEN claiming the treaty. The treaty also says business profits are taxable in the USA only through a permanent establishment there. See W-8BEN-E vs W-8BEN explained.
On the US side: LLC or corporation?
| US LLC (single-member) | US C-Corporation | |
|---|---|---|
| US federal tax if all work is done from Belgium | Usually none | 21% of profits |
| US tax when profits are paid to the owner | None (not a dividend) | Treaty rate, generally 15% for an individual owner |
| Yearly federal filing | Form 5472 + pro forma 1120 | Form 1120 + Form 5472 |
| Investors | Most will not invest | Standard (Delaware) |
A single-member US LLC owned by a non-resident is ignored for US income tax. If you do all the work from Belgium, with no US office, employees or dependent agents, the income is usually not effectively connected with a US trade or business, and no US federal income tax is due. The LLC still files Form 5472 with a pro forma Form 1120 every year, and missing it costs $25,000. A C-Corporation pays 21% on its profits wherever its people work, which suits startups raising US investment and businesses reinvesting in the USA. See effectively connected income explained, Form 5472 explained and LLC vs Inc for non-residents.
For a European resident, the US view is only half the picture. Your home country may classify a US LLC as a company even though the IRS ignores it, a US company managed from your country may be treated as tax resident there, and controlled foreign company rules can tax low-taxed profits at home. That is why many European founders choose a C-Corporation for a trading business, and use an LLC only after a local adviser has confirmed how it will be treated.
The Belgian side
Points for your Belgian adviser:
- The Cayman tax. Belgium's look-through tax can apply to foreign entities with legal personality that are not subject to income tax, or are taxed at less than 15% computed on Belgian rules. The founder is then taxed as if the entity's income were received directly, distributions are taxed as dividends, and each entity must be reported in the annual return, with fines for not reporting. Entities with sufficient economic substance where they are established can fall outside it. Whether a disregarded US LLC is caught depends on its classification and facts.
- Classification and place of management. Belgium classifies foreign entities under its own rules, and a company managed from Belgium can be Belgian tax resident.
- A Belgian company owning the US company needs transfer pricing.
We handle the US side; your Belgian adviser confirms the Belgian side.
US sales tax is not VAT: there is no national system and no input tax recovery, and each state sets its own rules. A European brand selling goods into the USA should plan for state sales tax separately; it is not a service we provide, but we refer you to a specialist. See state taxes for a foreign-owned LLC.
Which US state?
- Wyoming: the usual choice for freelancers, agencies and online businesses run from abroad, with low yearly costs and owners' names kept off the formation filing. See Wyoming LLC for non-residents.
- New Mexico: no annual report at all. See New Mexico LLC for non-residents.
- Delaware: for a corporation that will raise from US investors. See Delaware LLC for non-residents.
- Florida, Texas or New York: when the business will have an office, warehouse, staff or property there. See Florida, Texas and New York.
Try our state selector or read best state for non-residents.
What it costs
| With UCB | |
|---|---|
| Wyoming LLC with EIN, all-in | $249 |
| Wyoming LLC with EIN and US bank account application | $348 |
| Delaware corporation with EIN, all-in | $308 |
| Keeping a Wyoming LLC active each year | $121 |
| Keeping it active plus the yearly federal return | $421 |
| US business address add-on (own suite number) | $60 a year |
State fees and the first-year registered agent are included in our formation prices, with nothing added for the state. See what a US LLC costs every year and the cost calculator.
Documents you need
| Document | Notes |
|---|---|
| Passport or national ID card | Valid passport (or Belgian eID card), clear colour scan |
| Proof of address | A recent Belgian utility bill, composition de ménage or bank statement |
| Company name and business description | Two or three names; a specific description of what the company does |
| Share structure (corporation) | Number of shares and par value; we suggest a structure that keeps Delaware franchise tax at the minimum |
| Home company documents | Only if your company at home will own the US company: register extract and ownership |
No SSN, ITIN or US address is needed to form the company or obtain its EIN. See EIN for non-residents.
Banking and payments
Residents of Belgium are generally well served by US banks and fintechs that accept remote applications, and European identity documents are widely accepted. What still matters: a specific business description, a working website, consistent details across the state record, EIN letter and application, and a US business address with your own suite number rather than the registered agent's address.
See US business bank accounts for non-residents, why banks reject non-resident applications and Stripe for non-residents.
Worked examples
These are illustrative examples, not client cases.
Example 1: the Belgian company's US subsidiary. A Ghent software company forms a Delaware corporation to employ a US sales team. The subsidiary pays US corporate tax on its profits, so it is not a low-taxed entity.
Example 2: the consultant's LLC question. A Brussels consultant wants a Wyoming LLC. Their adviser checks it against the Cayman tax and Belgian classification, and they choose a structure before we file.
Example 3: the startup. Antwerp founders raising from US investors form a Delaware C-Corporation.
Common mistakes
- Forming a single-member LLC without checking the Cayman tax.
- Not reporting the US entity in the Belgian return.
- Running the US company from Belgium without considering Belgian residence.
- Ignoring Form 5472 because the LLC owes no US tax.
- Using the registered agent's address as the business address on bank applications.
Frequently asked questions
Can the Cayman tax apply to a US LLC? It can apply to low-taxed foreign entities with legal personality. Whether it catches your LLC depends on its classification and facts; ask a Belgian adviser.
Can my Belgian company own the US company? Yes. The US company becomes a subsidiary, with transfer pricing between them.
Can I form a US company from Belgium without visiting the USA? Yes. Formation, the EIN and bank applications are all done remotely. See open a US company without visiting.
Do I need an ITIN? Usually not for a single-member LLC or its EIN. See what is an ITIN and who needs one.
How UCB helps founders in Belgium
We form US LLCs and corporations for residents of Belgium remotely, all-in: a Wyoming LLC with EIN is $249, and our formation, EIN and bank account package is $348. Each year we keep the company active and file its federal return through our US tax filing service, working alongside your Belgian tax adviser, who confirms the Belgian side. If an LLC or a corporation clearly suits your plans better, we will tell you which and why. See also forming a US company from abroad: country guide.
Expanding from Belgium to the USA? WhatsApp us at +91 8105 199 399 or email enquiries@ucbsolutions.com, and we will recommend the right structure and state for you.
Let our experts handle it for you
Every business is different. Message us with your country, business type and goals, and we will recommend the right structure, state and package. We do the work; you focus on your business.
This article is general information for non-resident business owners and is not legal or tax advice. Rules and fees change; contact us to confirm what applies to your situation.
