US Tax Filing Checklist for Foreign-Owned LLCs (What to Send Your Preparer)

The difference between a stressful tax season and an easy one is usually preparation. When we receive a complete set of information in February, a foreign-owned LLC's annual filing is straightforward. When we receive half of it in April, everyone is rushing.

This checklist is what we ask our foreign-owned LLC clients to prepare. Use it whoever files your return.

1. Company documents

• Formation certificate (articles of organisation or incorporation).
• EIN confirmation letter (CP 575) or a 147C verification letter. See lost EIN letter.
• Operating agreement (LLC) or bylaws and share records (corporation).
• Registered agent and business address details.
• Tax classification if the LLC elected to be taxed as a corporation.
• Any changes during the year: new owners, a change of name or address, a conversion.

2. Owner information

For each owner:

• Passport copy and full legal name.
• Residential address and country of tax residence.
• Country of citizenship.
• Foreign tax ID from your home country, if you have one.
• ITIN, if you have one. See ITIN vs EIN vs SSN.
• Ownership percentage and any changes during the year.

3. Bank and payment records

• Bank statements for the whole year for every account in the LLC's name, US and non-US.
• Payment platform reports: Stripe, PayPal, Wise, marketplaces.
• Form 1099-K if a platform issued one. See 1099 thresholds.
• Merchant or marketplace payout summaries.

4. Money between you and the LLC

This is the heart of Form 5472, so it needs the most care.

• Money you put into the LLC (capital contributions), with dates and amounts.
• Money the LLC paid to you (distributions), with dates and amounts.
• Loans in either direction, with any written terms.
• Expenses you paid personally on the LLC's behalf, such as formation fees, registered agent renewals or subscriptions.
• Payments the LLC made on your behalf.
• Transactions with other companies you own.

See Form 5472 explained for why each of these matters.

5. Income and expenses

• Sales or revenue summary, ideally by month.
• Major expenses with invoices: software, advertising, contractors, inventory, fees.
• Contractor list with W-9 or W-8 forms on file, and amounts paid.
• Inventory records if you sell physical products.

6. US presence questions

These determine whether income may be effectively connected with a US business, and whether any state rules apply:

• Did the LLC have US employees or contractors working in the USA?
• Did it have a US office, or use a US warehouse or fulfilment centre?
• Did anyone in the USA negotiate or sign contracts on the LLC's behalf?
• Did you spend time working in the USA during the year?
• In which states did the LLC hold inventory or make significant sales?

See effectively connected income explained and state taxes for foreign-owned LLCs.

7. Foreign accounts and assets

• Any non-US bank accounts held by the LLC. A US LLC with foreign accounts may have an FBAR requirement. See FBAR for US companies.
• Any foreign subsidiaries or investments held by the LLC.

8. Prior-year information

• Last year's return, if someone else filed it.
• Any IRS letters received during the year. See IRS letters and what they mean.

A simple timeline

Multi-member LLCs (partnerships) run about a month earlier: the deadline is March 15. See tax extensions.

Habits that make next year easier

• Keep business and personal money separate.
• Record every transfer between you and the LLC as it happens.
• Save invoices in one folder, by month.
• Collect W-9 or W-8 forms before paying any contractor.

How UCB helps

When you file with us, we send you this checklist each January, review what you send, ask only the questions that matter, and file on time or extend if needed. Our US tax filing service is $300 per year for foreign-owned LLCs.

Ready to file, or not sure where to start? WhatsApp us at +91 8105 199 399 or email info@ucbsolutions.com and we will guide you through it.