Forming a US LLC From Abroad

Forming a company in the United States from another country is possible for many people, and it appeals to founders who want to sell to US customers, use US payment tools or build a business with a familiar legal structure. It also raises questions about taxes, banking, ownership reports and, for students, visas.

This guide describes the process and the main obligations as they stood when written, in plain language. It quotes no fees, because they vary by state and change. Rules on tax filings and ownership reports have changed recently and may change again, so check the IRS and FinCEN pages before you rely on anything here. It is general information, not legal, tax or immigration advice. For a real decision, talk to a qualified adviser who handles foreign-owned US companies.

First question: are you allowed to do this?

Before you spend anything, answer two questions.

1. Does your visa or residence status allow you to own or run a business? Many student visas limit work, and some limit self-employment or owning a business. Owning a company and working for it are often treated differently. Ask your school's international office and, if needed, an immigration adviser. Keep the answer in writing.
2. Do your home-country rules allow it? Some countries restrict foreign companies, require reporting of foreign assets or tax you on worldwide income. Check your national tax authority.

If either answer is no or unclear, stop and get advice. A company cannot fix a visa problem.

Can a non-resident form a US LLC?

In general, states do not require LLC owners to be US citizens or residents. You usually need:

• a name that meets the state's rules
• a registered agent with a physical address in the state
• a formation filing and fee
• an operating agreement, which you write and keep

The steps are the same as for a US resident, described in the US LLC guide in this section. The differences appear in tax, banking and ownership reporting.

Registered agent and address

A US LLC needs a registered agent in its state to receive legal papers. Foreign owners usually hire a commercial agent. The agent's address is the legal address for notices, not necessarily where you do business, and not a place where you may open a bank account.

A mailing address or virtual office service can receive post, but it does not by itself make your business "based" in the US. Banks, tax rules and platforms may look at where you actually operate.

Getting an EIN from abroad

The IRS online tool is for businesses formed and based in the US. The IRS says you cannot use the online tool if your principal place of business is outside the US, and that you should apply by phone, fax or mail instead. The exact numbers, form and instructions are on the IRS website, and they change, so read them there. The EIN page in this section describes the number and warns about websites that charge for it. The IRS says you never have to pay a fee for an EIN.

Be accurate about who the responsible party is, meaning the person who controls the entity.

The IRS filing that surprises foreign owners

A foreign-owned single-member US LLC is treated as a disregarded entity for income tax. According to the IRS instructions for Form 5472:

• a foreign-owned US disregarded entity has no income tax return requirement in the ordinary sense
• it must file a pro forma Form 1120 with Form 5472 attached
• the only information required on the Form 1120 is the entity's name and address and certain items on page 1, with the words "foreign-owned U.S. DE" written across the top
• these filers cannot e-file Form 5472 and must use the IRS's dedicated fax number or mailing address
• the form is due by the due date, including extensions, of the pro forma Form 1120
• a penalty of $25,000 applies for failing to file Form 5472 when due and in the manner prescribed, and a substantially incomplete form counts as a failure to file
• if the failure continues more than 90 days after IRS notification, an additional $25,000 penalty applies for each related party for each 30-day period it continues

Form 5472 reports certain transactions between the LLC and a related party, which for a single-member LLC includes money the owner puts in or takes out. Many foreign founders miss this filing because there is no tax to pay. The page on tax filings for foreign-owned LLCs in this section goes further. Check the IRS instructions each year, and consider paying a preparer who handles these forms.

Beneficial ownership reporting

Reporting rules for company ownership have changed. FinCEN's page, updated August 11, 2026, says that US companies are exempt from beneficial ownership information reporting under a final rule effective August 14, 2026. It defines foreign reporting companies as entities formed under the law of a foreign country that registered to do business in a US state, and says those that do not qualify for an exemption must still file, with deadlines set out on the page.

So the position, as the page stated it, is that a company formed in a US state does not file, whoever owns it, while a company formed abroad and registered in a US state may. The page on who still files in this section explains the distinction. Re-check FinCEN before you rely on this, because rules have shifted several times.

Banking limits

Opening a bank account is often the hardest step for an owner who lives outside the US. Many banks require a visit in person, a US address or a Social Security number, and some refuse owners who live abroad or businesses they consider higher risk. Some online banks and payment accounts work differently. The pages on banking in this section describe the pattern, and state plainly that approval is not guaranteed. Do not use false addresses or documents, and do not look for ways around identity checks.

Tax in your home country

A US LLC does not remove your tax duties at home. Many countries tax residents on worldwide income, and some treat a foreign company controlled by a resident as their own business. You may have to report the LLC, its income and its bank accounts. Ask a tax adviser in your country before you form one.

State filings and fees

Every state has its own formation fee, annual report and fees, and a few charge annual taxes. If you form in one state but operate elsewhere, you may need to register in more than one. The state-choice page and the annual-reports page in this section cover the basics.

What a US LLC does not do for you

It does not:

• give you a right to live, study or work in the US
• remove your home-country tax duties
• guarantee a US bank account or a payment processor account
• hide who owns the business from banks and tax authorities
• remove your duty to follow consumer, product and platform rules

A sensible order of work

1. Get written confirmation that your visa and home-country rules allow you to own the business.
2. Decide whether you need an LLC yet, or whether a simpler setup is enough.
3. Talk to an adviser who handles foreign-owned US companies about tax and filings.
4. Choose a state, a name and a registered agent.
5. Form the LLC and write an operating agreement.
6. Apply for an EIN using the route the IRS prescribes for your situation.
7. Plan your banking before you promise anything to customers.
8. Put the yearly filings in your calendar.

The bottom line

A non-resident can usually form a US LLC, but the form is the easy part. Check visa and home-country rules first, apply for an EIN through the IRS route for applicants abroad, put Form 5472 and the pro forma Form 1120 in your calendar and understand current FinCEN rules. Expect banking limits and get expert advice before you commit.