FAQs
It is the US requirement that US persons disclose their interests in non-US companies, principally through Form 5471, so the IRS has visibility of the company’s ownership and income.
If you are a US person with a defined level of interest in or role at a UK company, you will likely need to file Form 5471 with your US return.
They are anti-deferral rules. If a foreign company is a controlled foreign corporation, certain categories of its income can be taxed in the US to the US owner before any dividend is paid.
A missed or incomplete Form 5471 carries a substantial fixed penalty for each year and each company, with further penalties if it remains unfiled after an IRS notice.
Yes. Depending on whether income was reported and whether conduct was non-willful, the delinquent international information return procedure or the streamlined route usually applies.
It can. The time limit for the IRS to examine the return begins only after the required form is filed,d so that the year can stay open.
Only if they also handle US tax. Foreign Company IRS Reporting requires genuine US filing capability alongside the UK corporation tax work.