Automatic 2-Month Tax Extension for U.S. Citizens Abroad (Ep. 52)
I'm confused about tax deadlines: Automatic 2-Month Tax Extension for U.S. Citizens Abroad. When exactly do I need to file and what extensions are available?
Does Amazon moving my FBA inventory between warehouses create nexus in new states without my consent?
This might sound crazy but apparently Amazon can move my inventory to any warehouse they want without telling me. I just discovered my products were in 12 different states! I'm a foreign LLC owner from Singapore and I only shipped my inventory to one warehouse in California. Does this mean I now have physical nexus in 12 states? Do I need to file income tax returns in all of them? Can I tell Amazon to keep my inventory in just one state? This feels like a trap for foreign sellers.
Tax Return Due Dates for Decedent and Estate Returns (Ep. 51)
I'm confused about tax deadlines: Tax Return Due Dates for Decedent and Estate Returns. When exactly do I need to file and what extensions are available?
Tax Return Due Dates: General Rules for Individual and Business Filers (Ep. 50)
I'm confused about tax deadlines: Tax Return Due Dates: General Rules for Individual and Business Filers. When exactly do I need to file and what extensions are available?
Form 8865 Category 4: Large Foreign Partnership Interests
I have interests in a foreign partnership and need to understand: Form 8865 Category 4: Large Foreign Partnership Interests. What are the filing thresholds and requirements?
Form 8865 Category 3: Contributions to Foreign Partnerships
I have interests in a foreign partnership and need to understand: Form 8865 Category 3: Contributions to Foreign Partnerships. What are the filing thresholds and requirements?
Form 8865 Category 2: Acquisitions and Dispositions
I have interests in a foreign partnership and need to understand: Form 8865 Category 2: Acquisitions and Dispositions. What are the filing thresholds and requirements?
Does a Hong Kong agency or studio automatically have offshore profits just because all of its clients are overseas?
I want the serious Hong Kong answer, not a sales pitch. Please explain why invoicing foreign clients is not the whole source analysis, what facts still matter for a service business, and why founders should be careful about treating overseas customer geography like a blanket profits-tax exemption.
What's the difference between Form 5472 and FBAR? Do I need both?
I keep seeing mentions of both Form 5472 and FBAR for foreign LLC owners. Are these the same thing? Do I need to file both? What's the difference?
Form 8865 Category 1: Control of Foreign Partnership
I have interests in a foreign partnership and need to understand: Form 8865 Category 1: Control of Foreign Partnership. What are the filing thresholds and requirements?
Form 8865 Category 4 Filers Explained (Ep. 47)
I have interests in a foreign partnership and need to understand: Form 8865 Category 4 Filers Explained. What are the filing thresholds and requirements?
Form 8865 Category 3 Filers Explained (Ep. 46)
I have interests in a foreign partnership and need to understand: Form 8865 Category 3 Filers Explained. What are the filing thresholds and requirements?
What are the tax implications of my foreign-owned LLC participating in a DAO?
My LLC holds governance tokens for a major DeFi DAO and I actively vote on proposals. The DAO also distributes revenue to token holders. I'm trying to understand: 1. Is holding DAO governance tokens a passive investment or active business participation? 2. Are revenue distributions from the DAO taxable? As what kind of income? 3. Could the DAO itself be treated as a partnership for tax purposes, making me a partner? I'm a non-U.S. person and I manage my LLC from Australia.
How does the U.S.-Canada tax treaty handle estate tax for Canadian LLC owners?
I'm a Canadian citizen with a U.S. LLC that earns income from consulting services. I also have a U.S. brokerage account with about $500,000 in stocks. My worldwide estate is about $4 million. How does the U.S.-Canada treaty help with estate tax? I've heard Canada doesn't have an estate tax but instead has a deemed disposition at death. How do the two systems interact?
Form 8865 Category 2 Filers Explained (Ep. 45)
I have interests in a foreign partnership and need to understand: Form 8865 Category 2 Filers Explained. What are the filing thresholds and requirements?
Can I use the U.S. tax treaty with my country to reduce or avoid FIRPTA withholding?
I'm from the Netherlands and selling a rental property in Chicago through my LLC. The U.S. has a tax treaty with the Netherlands. My tax advisor back home said treaties often reduce withholding taxes. Does the U.S.-Netherlands treaty help me with FIRPTA? I've also heard that some treaties have special provisions for real property. Can anyone explain how treaties interact with FIRPTA?
Who qualifies as a U.S. shareholder of a CFC and what are their reporting obligations?
I'm a U.S. citizen living abroad and I own 15% of a company incorporated in Singapore. Two other Americans each own 20%, and the rest is owned by Singaporean nationals. Am I a U.S. shareholder? What forms do I need to file? My ownership is through a trust — does that change anything?
My U.S. partnership has a foreign partner. Do we need to file Form 8804 for withholding?
I run a U.S. LLC taxed as a partnership with two partners — myself (a U.S. citizen) and a partner who lives in Germany and is not a U.S. person. The partnership earned about $200,000 in effectively connected income last year. My accountant says we need to withhold tax on the German partner's share and file Form 8804. How does this work exactly? The German partner's share was about $100,000 but we didn't distribute all of it.
Form 8865 Category 1 Filers: Who Must Report? (Ep. 44)
I have interests in a foreign partnership and need to understand: Form 8865 Category 1 Filers: Who Must Report?. What are the filing thresholds and requirements?
What is Arizona's Transaction Privilege Tax and how does it affect my foreign-owned LLC?
I sell handmade crafts online and ship to Arizona customers. I've been told Arizona doesn't have a 'sales tax' but has something called a Transaction Privilege Tax. How is this different and what do I need to do? My LLC is in Wyoming and I'm from Japan.
I'm leaving the U.S. permanently and keeping my LLC — what are the tax implications?
I've been living in the U.S. for 6 years on a work visa and I own an LLC that provides consulting services. I'm moving back to India permanently. I don't have a green card so I won't trigger the exit tax, but I want to keep the LLC for my U.S. clients. What tax implications should I expect? How does my LLC go from being a 'regular' domestic entity to a foreign-owned one? And will I owe more tax or less tax going forward?
What is IRC 6038C and how is it different from IRC 6038A for my foreign corporation doing business in the U.S.?
I'm a Chinese citizen and I have a foreign corporation (registered in Hong Kong) that operates a U.S. branch. My accountant says I need to comply with IRC 6038C for information reporting. I already know about IRC 6038A from my other U.S. LLC. How is 6038C different? What additional reporting does my foreign corporation have to do?
What is an Employer of Record (EOR) and when should a foreign-owned LLC use one?
I'm a non-resident alien who owns a U.S. LLC but I don't want to deal with registering as an employer, running payroll, or dealing with state taxes. Someone suggested using an EOR (Employer of Record). How is this different from a PEO? With an EOR, who is the actual employer of the worker? Can I still manage the worker's day-to-day activities? Is this common for foreign-owned LLCs?
Penalty abatement for Form 5472 — has anyone succeeded?
I got hit with the $25,000 penalty for not filing Form 5472 for 2024. I genuinely didn't know about the requirement. Has anyone successfully gotten this penalty reduced or removed? What was your approach?
Do I owe French social charges (cotisations sociales) on my U.S. LLC income?
My French accountant says I may owe social charges on my LLC income in addition to income tax. The cotisations sociales for self-employed workers in France can be 30-45% on top of income tax. If the LLC is treated as transparent, is my income considered self-employment income subject to URSSAF contributions? This could make the total tax burden over 70%.
My bank application for my foreign LLC was denied twice. What am I doing wrong?
I'm from Brazil and I formed an LLC in Wyoming about two months ago. I've tried opening a bank account at Mercury and got denied both times. The denial email just says "we're unable to open an account at this time" with no specific reason. My LLC is legitimate — I run a web development consultancy. I have my EIN, articles of organization, operating agreement, and passport. What could be causing the denial? Is there something specific about Brazilian owners or Wyoming LLCs that triggers rejections? I'm running out of options and my clients need a way to pay me.
Form 8865 Introduction: Foreign Partnership Reporting (Ep. 43)
I have interests in a foreign partnership and need to understand: Form 8865 Introduction: Foreign Partnership Reporting. What are the filing thresholds and requirements?
Form 3520: Foreign Trust and Gift Reporting Guide
I have income from outside the U.S. and need guidance on: Form 3520: Foreign Trust and Gift Reporting Guide. What are my reporting obligations and how do I stay compliant?
Form 5471: Information Return for Foreign Corporation Ownership
I have income from outside the U.S. and need guidance on: Form 5471: Information Return for Foreign Corporation Ownership. What are my reporting obligations and how do I stay compliant?
My doola agent set up the LLC but I never got a CP 575 — help?
doola formed my LLC and supposedly got my EIN but I never received the CP 575 letter. They just gave me the EIN number. Is that enough or do I need the actual letter?