Clemta

Whether a non-resident owes US tax on an LLC depends on where the income is earned, not on the owner's nationality or place of residence. A single-member LLC with no US trade or business and no effectively connected income generally owes no federal income tax, but it still has mandatory IRS filings, including Form 5472 with a pro-forma Form 1120. Multi-member LLCs, US employees,...

Form 1120 is the annual US corporation income tax return that every domestic C Corporation must file with the IRS, including corporations that were dormant or lost money. LLCs that elected corporate taxation file it too, and foreign-owned US corporations usually attach Form 5472. The return is due on the 15th day of the fourth month after the tax year ends, with a six-month exte...

Articles of organization create an LLC and articles of incorporation create a corporation; they are the same kind of filing for two different entity types. Some states use a different name for the identical document — Delaware and Texas call the LLC version a certificate of formation. The only substantive difference is that articles of incorporation authorise shares, which is wh...

If you are a non-US freelancer or business receiving payments from the US, the W-8 form is not optional. It's essential to avoid an automatic 30% tax withholding. This guide demystifies the complex IRS landscape and clarifies the critical differences between W-8BEN for individuals and W-8BEN-E for entities.

If you formed a Single Member LLC, the IRS likely classifies your business as a disregarded entity. We break down exactly what this means for your personal taxes, your legal liability, and your reporting requirements.