When forming your LLC you choose between a single-member LLC (one owner) and a multi-member LLC (two or more owners). The choice affects taxes and filings.
Single-member LLC
Owned by one person, treated as a disregarded entity for US tax. A foreign-owned single-member LLC files Form 5472 with a pro-forma 1120. Simple and ideal for solo founders.
Multi-member LLC
Owned by two or more people, taxed as a partnership by default. It files Form 1065 and issues K-1s to members, and may have withholding obligations on income allocated to foreign partners.
Which is right for you?
Solo? Single-member is simplest. Have a business partner or co-founder? A multi-member LLC formalises ownership. We advise based on your setup.
Добавить комментарий