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Form 5472 Foreign-Owned Business Filing

International tax CPA firm with Big Four experience preparing Form 5472 for foreign-owned U.S. corporations and single-member LLCs. All reportable transactions covered.

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Form 5472 Penalty Alert

$25,000 Per Form

Severe penalty for late or incomplete Form 5472: $25,000 per form for each year of non-compliance. No cap on total penalties. A foreign-owned LLC that hasn't filed for 3 years faces $75,000+ in potential penalties.

Form 5472 is due with your pro forma Form 1120 (for disregarded entities) or your corporate return. Due date: April 15 or extended deadline.

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What You Need to Know About Form 5472:

  • Form 5472 reports transactions between foreign-owned U.S. businesses and related foreign parties
  • Required for 25%+ foreign-owned corporations AND single-member LLCs owned by foreign persons
  • Penalty is $25,000 per form with no maximum cap
  • Must file even if the only transaction was a capital contribution
  • Single-member LLCs file Form 5472 with a pro forma Form 1120

Complete Form 5472 Preparation Service

Everything needed for accurate, compliant foreign ownership reporting

Return Preparation

Comprehensive preparation of all required forms

  • Form 5472 information return
  • Pro forma Form 1120 (for disregarded entities)
  • All reportable transaction categories
  • Related party identification
  • Proper monetary value reporting
Entity Analysis

Determine your exact filing requirements

  • 25%+ foreign-owned corporations
  • Foreign-owned single-member LLCs
  • Disregarded entity requirements
  • Related party identification
  • Multiple form requirements
Transaction Reporting

Accurate reporting of all reportable transactions

  • Sales and purchases of goods
  • Rents and royalties
  • Service fees and management fees
  • Loans and interest
  • Capital contributions
  • Distributions

Our Streamlined 5472 Preparation Process

From documents to filed return in 5 steps

Ownership Analysis

We analyze your ownership structure to confirm Form 5472 requirements and identify all related parties.

Transaction Analysis

We analyze all transactions between your U.S. entity and foreign related parties to ensure complete reporting.

Return Preparation

Our international tax CPAs prepare your Form 5472 (and pro forma 1120 if needed) with all reportable transactions properly categorized.

Review & Approval

You review the complete return package. We explain each section and address questions before filing.

Filing & Confirmation

We file your Form 5472 with the IRS and provide confirmation of acceptance.

📋 Documents Needed for Form 5472 Preparation

  • Prior year Form 5472 (if filed)
  • Entity formation documents
  • Ownership/shareholder records
  • Operating agreement (for LLCs)
  • Bank statements showing transactions
  • Invoices for goods/services
  • Loan agreements with related parties
  • Capital contribution records

Transparent Form 5472 Pricing

Upfront estimates based on entity type and complexity

Service Description Forms Included Price
Current Year Filing Foreign-owned LLC or corporation Form 5472 + Pro Forma 1120 $1,500
First Delinquent Year Late filing with penalty protection Form 5472 + Pro Forma 1120 + Reasonable Cause $2,000
Additional Delinquent Years Each additional year of late filing Form 5472 + Pro Forma 1120 $1,500/year
Multiple Related Parties Transactions with additional foreign related parties Additional Form 5472 +$300/party

* Prices shown are estimates. Final quote provided after analyzing your specific situation. If scope changes during preparation, we discuss it first. Add-ons: EIN application (+$200), extension filing (+$150), rush processing <7 days (+100%).

Special Form 5472 Situations We Handle

📊 Foreign-Owned Single-Member LLCs

Disregarded entities owned by foreign persons. Pro forma Form 1120 plus Form 5472 required even with no U.S. tax liability.

Learn more: Foreign-Owned Single-Member LLC Guide

🌎 Reportable Transactions

All transaction types between U.S. entities and foreign related parties—sales, services, rents, royalties, loans, and capital contributions.

Learn more: Form 5472 Reportable Transactions Guide

🏢 Late Filing & Penalty Relief

DIIRSP procedures, reasonable cause statements for penalty abatement. $25,000 penalty per form makes proper relief requests critical.

Learn more: Form 5472 Penalties and Relief Options

💼 Related Party Analysis

Identifying all foreign related parties under IRC Section 267(b) and Section 707(b). Includes family members, controlled entities, and constructive ownership.

🏥 Multiple Related Parties

Separate Form 5472 required for each foreign related party. We coordinate reporting across all related parties.

🌍 25% Foreign-Owned Corporations

U.S. corporations with 25%+ foreign ownership. Form 5472 required for each related party with reportable transactions.

Don't Risk $25,000+ in Penalties

Get your Form 5472 prepared by CPAs who specialize in foreign-owned business compliance

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Form 5472 Frequently Asked Questions

Common questions about 5472 taxation and our services

Who must file Form 5472?

Two types of entities must file: (1) 25%+ foreign-owned U.S. corporations that have reportable transactions with foreign related parties, and (2) foreign-owned single-member LLCs treated as disregarded entities for tax purposes. Since 2017, single-member LLCs owned by foreign persons must file Form 5472 with a pro forma Form 1120.

Learn more: Foreign-Owned Single-Member LLC Guide

What are the penalties for not filing Form 5472?

The penalty is $25,000 per Form 5472 for each year of non-compliance. Unlike other international information returns, there is no maximum cap. A foreign-owned LLC that hasn't filed for 5 years could face $125,000 in penalties.

Learn more: Form 5472 Penalties and Relief Guide

When is Form 5472 due?

For foreign-owned single-member LLCs, Form 5472 with pro forma Form 1120 is due April 15 (or October 15 with extension). For foreign-owned corporations, Form 5472 is due with the corporate return—typically April 15 for calendar year corporations.

What transactions must be reported on Form 5472?

All transactions between a reporting corporation (or foreign-owned LLC) and foreign related parties must be reported. This includes sales of goods, purchases, rents, royalties, service fees, interest, loans, capital contributions, and distributions. Even a simple capital contribution triggers Form 5472 filing.

Learn more: Form 5472 Reportable Transactions Guide

What's the difference between Form 5472 and Form 5471?

Form 5472 is for foreign-owned U.S. businesses—a foreign person owns your U.S. entity. Form 5471 is for U.S. shareholders of foreign corporations—you own a foreign entity. Form 5472 penalty is $25,000 per form; Form 5471 penalty is $10,000-$60,000.

Do I need an EIN for a foreign-owned LLC?

Yes. Foreign-owned single-member LLCs must obtain an EIN specifically for Form 5472 filing, even if the LLC has no employees and no U.S. tax liability. The EIN is required to file the pro forma Form 1120.