Form 5472 — what it is and why you can't ignore it
If you're a non-US person with a US LLC, you must file Form 5472 every year — even with zero income. Missing it is an automatic $25,000 penalty per year. It's not complex; the risk is ignoring it.
Key takeaways
Per form, per year. No income threshold. No IRS reminder. The penalty applies even if you earned nothing.
Single-member LLC + non-US owner = Form 5472 required. Formed via doola, Northwest, or ZenBusiness? This applies to you.
6-month extension available to October 15. Must be filed proactively — you can't request it after the deadline.
E-filing is not available for foreign-owned LLCs. A specialist CPA costs $200–500 and is worth every cent.
The short version
Form 5472 is an IRS information return. It's not a tax form in the traditional sense — you're not paying anything with it. You're telling the IRS: "Here's who owns this US LLC, and here's what happened inside it this year."
The IRS introduced this requirement because foreign-owned LLCs were being used to move money without any visibility. So now, if a non-US person owns 25% or more of a US LLC, the LLC must file Form 5472 annually.
⚠️ The penalty is severe
Failing to file Form 5472 — or filing it late — results in an automatic $25,000 penalty per form, per year. There is no income threshold. A brand-new LLC with zero revenue is subject to this. The IRS does not issue reminders.
Who needs to file?
You need to file Form 5472 if all of the following are true:
Your LLC is registered in the US (Wyoming, Delaware, etc.) and is treated as a disregarded entity for tax purposes — the default for single-member LLCs. And you, the owner, are not a US citizen or US resident for tax purposes.
This covers the vast majority of digital nomads with a US LLC. If you formed your LLC through doola, Northwest, ZenBusiness, or similar services, this applies to you.
What counts as a reportable transaction?
You need to report any transaction between you and your LLC. This includes money you put in (capital contributions), money you took out (distributions), expenses paid on behalf of the LLC, and any loans between you and the LLC.
Even if your LLC had no activity at all, you still need to file — you just report zero transactions. There is no "nothing happened" exemption.
💡 Less complicated than it sounds
Form 5472 is filed together with a pro-forma Form 1120. A CPA who specialises in this can handle both in under an hour. The form itself is short — the risk comes from ignoring it, not from the complexity of filing it.
When is it due?
Form 5472 is due on April 15 each year for the previous tax year. You can request a 6-month extension, pushing the deadline to October 15. The extension must be filed proactively — you can't request it after the deadline has passed.
Can you file it yourself?
Technically yes, but it requires mailing a paper form to the IRS — e-filing is not available for foreign-owned LLCs filing a pro-forma 1120. Most nomads find it easier and safer to use a specialist CPA. The cost is typically $200–500 per year, which is nothing compared to the $25,000 penalty for missing it.
Need a CPA who specialises in this?
Entity.inc handles Form 5472 filing for foreign-owned US LLCs. Flat fee, no surprises, done fully remotely.
Get Form 5472 filed → Affiliate link — we may earn a commission at no extra cost to you.The bottom line
Form 5472 is one of the most important annual obligations for non-US nomads with a US LLC. It's not complex, but the penalty for missing it is severe. Set a reminder for March every year and make sure whoever handles your filing understands the requirements for foreign-owned LLCs specifically.