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US LLC: Filing Taxes - Part I

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Note: This is not tax advice. Do your due-dilligence when filing taxes and consult a specialist.

This year was my first time filing taxes for a U.S. LLC (namely a single-member, foreign-owned, disregarded entity). So I did some research and decided to write everything down for future reference. Maybe this helps someone else too.

Please note that if your LLC setup differs from mine, some of the steps may be different.

This post only covers the “Single Member LLC Tax Filing”, not the “Annual Report”. I will cover the Annual Report in a separate post.

TL;DR — Overview

Here is an overview of the steps:

Where to get the forms mentioned above:

Pro Forma 1120

FieldWhat to Enter
Nameâś… Your LLC name
Addressâś… LLC Registered address
B — EIN✅ Your EIN
C — Date incorporated✅ LLC formation date
D — Total assets✅ End-of-year balance
E(1) — Initial return✅ Check this if it is the first filing
Tax year datesâś… e.g. Jan 1 - Dec 31, 2025, or leave blank
Top notation✅ “Foreign-Owned U.S. Disregarded Entity” (important)
Signatureâś… Sign and date as owner

Form 5472

Here is a summary. Each part is explained in more detail below.

PartAction
Part Iâś… Fill completely, check boxes 2 and 3
Part IIâś… Fill fields 4a-4e with YOUR info (leave 5a-7e blank)
Part III✅ Fill with YOUR info again, check “Foreign person”
Part IVâś… Complete but all lines = $0 (transactions go in Part V)
Part Vâś… Check the box + attach a separate sheet listing contributions/distributions
Part VI⬜ Leave blank
Part VII✅ All “No”
Part VIII⬜ Leave blank
Part IX⬜ Leave blank

PART I — The LLC

FieldWhat to Enter
1a NameYour LLC’s full legal name
AddressLLC Registered address
1b EINYour EIN
1c Total assetsEnd-of-year LLC bank balance in USD. Zero or near-zero is fine.
1d Principal business activitye.g. “Software Development” or “Digital Products”
1e Activity codeLook up at IRS NAICS codes — e.g. 511210 for software, 541511 for custom programming
1f Total value of gross paymentsTotal USD value of all transactions reported on THIS form (contributions + distributions combined)
1g Total number of Forms 54721 (you’re only filing one)
1h Total value on ALL Forms 5472Same number as 1f (since you only have one)
1j Initial year checkboxCheck this if it’s your first year filing
1l Country of incorporationUnited States
1m Date of incorporationYour LLC formation date
1n Country filing income tax as residentLeave blank — disregarded entity, files no foreign income tax return
1o Principal country where business conductedCountry where you reside
Box 2Check it — a foreign person owns 100% of the LLC
Box 3Check it — this is the critical “foreign-owned US DE” checkbox

PART II — You as the 25%+ Foreign Shareholder

Only fill fields 4a-4e (one shareholder = you). Leave 5a-7e completely blank.

FieldWhat to Enter
4a Name and addressYour full legal name + your personal address
4b(1) U.S. identifying numberLeave blank (you have no SSN/ITIN)
4b(2) Reference ID numberMake one up — e.g. simply “OWNER-01”
4b(3) FTINYour foreign FTIN or N/A
4c Principal country where business conductedCountry where you reside
4d Country of citizenship/organizationYour citizenship
4e Country filing income tax as residentCountry where you reside

The “related party” is whoever the LLC had transactions with. Since you’re a single-member LLC and you’re the only person who moved money to/from the LLC, you are also the related party. Fill it with your info again.

FieldWhat to Enter
Foreign/U.S. person checkboxCheck “Foreign person”
8a Name and addressYour name + your personal address (same as Part II)
8b(1) U.S. identifying numberLeave blank
8b(2) Reference ID numberSame reference ID you used in Part II
8b(3) FTINYour FTIN or N/A again
8c Principal business activityYour personal activity, e.g. “Individual investor / owner”
8d Activity codeLeave blank or put 0
8e Relationship checkboxesCheck “25% foreign shareholder”
8f Principal country where business conductedYour country
8g Country filing income tax as residentWhere you pay taxes

PART IV — Monetary Transactions

Because you checked “foreign person” in Part III, the form technically requires you to complete Part IV. However — and this is important — for a foreign-owned US DE, contributions and distributions do NOT go here. They go in Part V (see below). Part IV is for arm’s-length commercial transactions (sales, rents, royalties, loans) between the LLC and a foreign related party.

For your situation, every line in Part IV is almost certainly $0 or blank:

FieldWhat to Enter
Lines 9-21 (amounts received)All blank/$0 — no sales, royalties, rents etc. between you and the LLC
Line 22 (total received)blank/$0
Lines 23-35 (amounts paid)All blank/$0
Line 36 (total paid)blank/$0

PART V — THIS is Where Your Contributions & Distributions Go

This part was specifically created for foreign-owned US DEs. It says:

“…amounts paid or received in connection with the formation, dissolution, acquisition, and disposition of the entity, including contributions to and distributions from the entity”

What to do:

  1. âś… Check the checkbox in Part V
  2. Attach a separate sheet (plain paper or a simple Word/PDF doc) titled something like:

Then list each transaction simply, like:

If nothing happened: “No contributions or distributions were made during the tax year.” — still attach the sheet and check the box.

“Form 5472 — Part V Attachment — [LLC Name] — EIN XX-XXXXXXX — Tax Year 20XX”

DateDescriptionAmount
2024-03-15Capital contribution by owner to fund LLC bank account$500
2024-09-01Distribution from LLC to owner$3,000

PART VI — Nonmonetary Transactions

Leave blank. You probably didn’t transfer property, IP, or assets.

PART VII — Yes/No Questions (All reporting corps must complete)

QuestionYour Answer
37 Import goods from foreign related party?No
39 Foreign parent in cost sharing arrangement?No
40a Interest/royalty deductions disallowed under §267A?No
41a Claiming FDII deduction?No
42a Loans with safe-haven rate rules?No
42b Same, outside safe-haven range?No
43a Covered debt instrument issued?No

Just tick No straight down the column for all of them.

By now you should be ready to compile your PDF and send it to the IRS fax line. See the “Overview” section at the top again.

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