Non-U.S. owners: reporting and work authorization are separate

Do not use citizenship alone to decide federal tax treatment. The IRS S corporation rules exclude nonresident-alien shareholders and restrict other owner types. An owner's tax residency and the entity's tax classification need a professional review; owning an LLC does not establish S-election eligibility.

The current Form 5472 instructions describe reporting for certain 25%-foreign-owned U.S. corporations and wholly foreign-owned U.S. disregarded entities with reportable related-party transactions, subject to the instructions and exceptions. A wholly foreign-owned U.S. disregarded entity can need Form 5472 attached to a pro forma Form 1120 even though it is disregarded for general income-tax purposes. Do not assume no revenue means no reporting: review owner funding and other transactions with a qualified tax professional.

The IRS provides different EIN application methods depending on the principal business location and eligibility for online application. Follow current IRS instructions for the responsible party and the applicable method; an EIN is a tax identifier, not an immigration document.

Forming or owning a U.S. business does not by itself authorize work in the United States. USCIS describes separate entrepreneur pathways with specific requirements. Consult qualified immigration counsel before performing work; we do not determine immigration eligibility.