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#Foreign-owned LLC

Plain-language notes on U.S. tax deadlines, IRS letters, cross-border reporting and running a small business, written by the CPAs who handle these questions every day.

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All topics315 YCL news, community & stories7 Tax law & IRS updates45 Individual & family tax49 Small business & company tax82 Foreign assets & reporting15 Going global: US companies68 Immigration & residency tax22 IRS notices & penalties27

Going global: US companies · Nov 9, 2026

A Foreign-Owned U.S. LLC Selling Only into Latin America on Mercado Libre: What Does It File in the U.S.?

A single-member U.S. LLC owned by a foreign person that ships from China to Latin American buyers, with no U.S. warehouse, employee or agent, generally owes no U.S. income tax. But as a foreign-owned disregarded entity it must file a pro forma 1120 and Form 5472 by April 15 every year, with a $25,000 penalty per missed form. A U.S. warehouse or U.S. activity calls for a fresh look at effectively connected income.

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Going global: US companies · Nov 9, 2026

Form 8832 for a Foreign-Owned LLC: Electing C Corporation Status, the 60-Month Lock and the Tax Cost

After a Form 8832 election, a foreign-owned single-member LLC is a U.S. C corporation for federal tax: a real Form 1120 + 5472, 21% federal tax, and 10% treaty withholding on dividends to a China-resident owner. The effective date can reach back 75 days, the classification is generally locked for 60 months, and late elections may qualify for relief under Rev. Proc. 2009-41 within 3 years and 75 days.

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Going global: US companies · Nov 9, 2026

Macy's Marketplace in 2026: How Brands Get In, and the Company and Tax Setup to Finish First (W-9, U.S. Warehouse, Entity)

Macy's Marketplace is curated: you submit a questionnaire and Macy's invites the brands it wants. Onboarding needs a U.S. Tax ID, a W-9, a U.S. bank account, a U.S. warehouse and a U.S. phone, plus a J.P. Morgan escrow account for weekly payouts. A foreign-owned single-member LLC shouldn't sign a W-9 as is; the usual fix is a C corporation or a Form 8832 election.

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Going global: US companies · Nov 9, 2026

W-9 or W-8 for Marketplace Sellers: How to Fill In Tax Information on Walmart, Amazon and TikTok Shop

U.S. persons and U.S. entities taxed as corporations or partnerships give a W-9; foreign individuals a W-8BEN, foreign companies a W-8BEN-E, and those with effectively connected income a W-8ECI. A U.S. LLC owned by one foreign person gives the owner's W-8. Only W-9 sellers get a 1099-K, a name/TIN mismatch means 24% backup withholding, and the same entity should file the same form everywhere.

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Going global: US companies · Nov 9, 2026

Walmart Business Verification Entity Type: What a Foreign-Owned Single-Member LLC Should Choose

Walmart's entity type list offers only C-Corporation, S-Corporation, Partnership, LLC – C-Corp and LLC – S-Corp. A single-member LLC owned by a foreign person is a disregarded entity, and the IRS says the owner gives a W-8, not the LLC a W-9. Pick a route first: a Form 8832 election, a new C corporation, or your home company as an international seller.

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