How a non-resident forms a US LLC the right way: EIN, bank account & compliance
You don't need a visa, a US address, or even to set foot in the country to own a US company. What you do need is to run the steps in the right order — because the mistakes non-residents make aren't in forming the LLC, they're in the EIN, the bank account, and the compliance that follows. Here's the clean path.
Every year, tens of thousands of founders outside the US form a Limited Liability Company to reach American customers, use US payment processors, and gain the credibility of a US entity — all without residency. The law is genuinely open: any foreign national can own 100% of a US LLC. The hard part isn't permission; it's doing each step correctly so you end up with a company that can actually bank and that stays compliant.
Step 0: pick the right state
You can form in any state, but three dominate for non-residents because they combine low cost, privacy and no state income tax. Tell the tool what matters most to you.
| Wyoming | Delaware | New Mexico | |
|---|---|---|---|
| Filing fee (approx.) | ~$100 | ~$110 | ~$50 |
| Annual cost | ~$60/yr report | $300/yr franchise tax | None (no annual report) |
| State income tax | None | None on out-of-state income | None (for non-resident, no NM activity) |
| Owner privacy | High (members not listed) | Moderate | High (members not listed) |
| Best for | Most non-residents | Raising US VC / startups | Cheapest, simplest |
The full roadmap, in order
Getting the EIN without an SSN or ITIN
The EIN is your company's federal tax ID — you need it for banking, payment processors and every filing. The persistent myth is that you must first get an ITIN. You don't. Here's the reality:
- Use Form SS-4. On the responsible-party taxpayer-ID line, write "Foreign" rather than an SSN/ITIN — this is the correct, IRS-accepted entry.
- Not online. The online EIN tool requires the responsible party to have a US taxpayer ID, so non-residents apply by fax or by the IRS international phone line instead. (Check IRS.gov for the current fax number and phone line, as they change.)
- Timing. Fax typically returns the EIN in days to a few weeks; mail is slower. A third-party designee on the SS-4 can receive it for you.
- ITIN comes later, if at all. You'd only need an ITIN (Form W-7) if you personally end up with a US filing obligation — for example, filing Form 1040-NR because your business has effectively connected income.
Opening a US bank account — remotely
This is usually easier than founders fear. Traditional US banks often want you to appear in person, but several US fintechs are built for remote, non-resident-owned LLCs and can open an account online once your company exists.
To open one, have ready: your EIN confirmation, Articles of Organization, your operating agreement, and a passport. Expect a KYC ("know your customer") review, during which the provider collects beneficial-ownership information — a bank compliance step that is separate from the FinCEN and IRS rules discussed below. A few points of friction to plan around:
- Providers exclude certain countries (sanctioned jurisdictions, and some higher-risk ones) — check eligibility before you form.
- A clean, consistent set of documents (matching names and addresses across the LLC, EIN and ID) speeds approval.
- Payment processors (for online sales) are a separate signup from your bank account — plan for both.
How your LLC is taxed — and one option you can't use
By default, a single-member LLC is a disregarded entity and a multi-member LLC is a partnership. An LLC can also elect to be taxed as a C corporation. But there's a common trap:
On the tax itself: a non-resident running an online business with no US trade or business and no US-source income generally owes $0 in US federal income tax. If instead you have effectively connected income (US staff, operations, or US real-estate rental), that profit is taxable and you'd file Form 1040-NR (individual) or 1120-F (corporation). Either way, the Form 5472 information return is separate and usually still required.
Your annual compliance calendar at a glance
Form 5472 + pro forma 1120 — by April 15 (extension to October 15 via Form 7004), for a foreign-owned single-member LLC with any reportable transaction. Missing it risks a $25,000 penalty even with $0 income.
State annual report / franchise tax — e.g. Wyoming's annual report, Delaware's $300 franchise tax; New Mexico has none.
Registered-agent renewal — keep it active or the LLC can fall out of good standing.
Form 1040-NR / 1120-F — only if you have US-taxable (effectively connected) income.
BEA surveys and FBAR — possible foreign-investment surveys (BE-13/BE-12) and an FBAR if the LLC holds foreign financial accounts above the threshold.
Sales tax — if you sell goods and create economic nexus in a state, registration and collection can follow.
Do you have to file a BOI report? (current status)
No. FinCEN issued a final rule on August 11, 2026 (effective August 14, 2026) that permanently exempts US-formed companies — including foreign-owned US LLCs — from beneficial-ownership (BOI) reporting under the Corporate Transparency Act. It adopts the exemptions first introduced in the March 26, 2025 interim final rule. Only entities formed under foreign law and registered to do business in a US state remain "reporting companies," and they report only their foreign beneficial owners. So a US LLC you form as a non-resident is on the exempt side.
One caution: this BOI regime is separate from the beneficial-ownership information your bank collects at account opening, which still applies. Rules can change, so confirm the current position at FinCEN.gov.
The mistakes that cost non-residents the most
- Treating "no tax" as "no filing." The Form 5472 obligation is about ownership and transactions, not profit.
- Buying an ITIN you don't need to get the EIN.
- Forgetting the state and registered-agent renewals, and letting the LLC lapse.
- Assuming an S-corp election is available — it isn't, for non-residents.
- Choosing a state on price alone without weighing banking, privacy and your actual plans.