First-Year Form 5472: What a New Foreign-Owned LLC Must File
A new foreign-owned U.S. LLC may need Form 5472 for its formation year because startup funding and formation payments are reportable.
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Last updated August 17, 2026
Last updated: July 2026
A newly formed foreign-owned U.S. single-member LLC often files Form 5472 for its formation year, even with no customers or revenue. The owner’s initial capital, personally paid formation costs, and other formation-related transfers are reportable Part V transactions. For a calendar-year LLC, the first filing is generally due April 15 of the following year.
Start the first-year filing when the tax year covered by the return has ended.
Why can a new LLC have a filing requirement with no revenue?
The IRS treats amounts paid or received in connection with the formation of a foreign-owned U.S. disregarded entity as reportable transactions. The IRS Instructions for Form 5472 also name contributions to the entity.
That means “the LLC did nothing” and “the LLC had no reportable transactions” are not the same. A founder normally contributes money, pays a state filing fee, buys a registered-agent service, or opens a bank account with an initial deposit.
What belongs in the first-year review?
Use the Form5472 Prep formation-to-filing timeline:
| Stage | Evidence to collect | Possible reportable transaction |
|---|---|---|
| Formation | State receipt, organizer invoice | Owner-paid formation amount |
| Setup | Registered-agent and address-service invoices | Owner contribution or reimbursement |
| Banking | Initial deposit and transfers | Capital contribution or loan |
| Operations | Bills paid from personal cards | Owner-paid LLC obligations |
| Year-end | LLC-to-owner transfers | Distribution or repayment |
Keep both the original-currency amount and the U.S.-dollar amount. If an owner paid a €300 formation invoice personally and later received $325 from the LLC, the records should show the payment, the reimbursement, and the conversion method rather than collapsing both events into “startup costs.”
When is the first Form 5472 due?
A foreign-owned U.S. disregarded entity files Form 5472 with a pro forma Form 1120 by the Form 1120 due date, including extensions. A calendar-year entity generally files by April 15 of the following year. A timely Form 7004 can extend the filing deadline.
The owner should not file a return for an unfinished tax year merely because the LLC was formed. An LLC formed in 2026 normally files its 2026 information return in 2027 after the 2026 tax year closes.
What identifiers does a new LLC need?
The LLC needs an EIN to file. A foreign responsible party who lacks an SSN or ITIN can follow the Form SS-4 instructions, which permit “foreign” or “N/A” on line 7b when the person is ineligible for an SSN or ITIN.
The foreign owner’s Form 5472 section can include an FTIN and, where required, an owner-assigned reference ID. An ITIN is not automatically required for the Form 5472 filing itself.
How does Form5472 Prep prepare a first-year return?
Form5472 Prep collects the formation date, EIN, owner details, year-end assets, and categorized owner transactions. The $149 Standard plan includes the pro forma Form 1120, Form 5472, Part V statement, accountant review, IRS fax delivery, and delivery receipt, ready in 5-7 business days; Express delivers the same package in 3 business days for $199.
Prepare the first-year package before the filing deadline.
Frequently asked questions
My LLC was formed in December. Do I still file?
Often yes. A short first year can still contain formation fees, an initial contribution, or owner-paid expenses. The filing covers the period the LLC existed during that tax year.
Does a zero bank balance remove the requirement?
No. A year-end balance of zero does not erase transfers that occurred earlier in the year.
Can a new foreign-owned LLC e-file Form 5472?
No. The IRS states that a foreign-owned U.S. disregarded entity cannot electronically file Form 5472. The package is sent by fax or mail to the dedicated Ogden PIN Unit.
What is the penalty for missing the first filing?
The IRS instructions state a $25,000 penalty for failing to file on time or filing a substantially incomplete Form 5472.
The bottom line
The first Form 5472 starts with formation, not revenue. Collect every owner-funded setup cost and owner transfer from day one, then file after the tax year closes. Have Form5472 Prep prepare, review, and fax the package.
Educational content only; not tax or legal advice.