If you run an Amazon FBA business through a U.S. company but live abroad, you may be asking whether you need to file Form 5472 with the IRS. The answer doesn’t depend on whether you sell electronics, home goods, or supplements through Amazon.
It depends on the type of entity you formed. If your FBA business is a foreign-owned single-member LLC or a corporation with at least 25% foreign ownership, then yes, you must file Form 5472. If your business is a multi-member LLC taxed as a partnership, Form 5472 usually does not apply.
This guide explains what Form 5472 is, how to know your entity type, what transactions are reportable, and why even FBA sellers with no sales must still file. We’ll also discuss additional complexities for FBA sellers, like physical presence and sales tax obligations.
What is Form 5472?
Form 5472 is an IRS information return that reports certain transactions between a U.S. company and its foreign owners. It doesn’t calculate tax but provides the IRS with visibility into how money flows across borders. If you run an FBA business as a foreign-owned single-member LLC or corporation, Form 5472 almost certainly applies.
For Amazon FBA sellers, reportable transactions often include wiring money from abroad to purchase inventory, paying for shipping, or reimbursing yourself for expenses. Even if no orders were placed by customers, these transactions must still be reported.
Who must file Form 5472?
The filing requirement depends only on entity type:
- A foreign-owned single-member LLC must file Form 5472 with a pro forma Form 1120.
- A U.S. corporation with 25% or more foreign shareholders must file Form 5472 with the full Form 1120.
- A multi-member LLC treated as a partnership files Form 1065 instead, not Form 5472.
How to know what type of company you have
If you used a formation company, you may not be sure what you have. Here’s how to find out:
- If you formed an LLC with one owner, you almost certainly have a single-member LLC. On your EIN confirmation letter, your name may appear with “Sole Mbr” or the entity may be labeled a “disregarded entity.”
- If you formed an LLC with multiple owners, you likely have a multi-member LLC. In this case, the EIN letter may show the applicant’s name with “Mbr,” which indicates multiple members. These entities file Form 1065.
- If you formed a corporation (like a Delaware C-Corp), you must file Form 1120 every year. If foreign ownership is 25% or more, you also file Form 5472.
- If you or your accountant filed an election with Form 8832 or 2553, that election determines your tax classification.
What information goes on Form 5472?
The IRS requires company details, owner information, and a record of transactions. For FBA businesses, these transactions often include contributions from the owner to cover inventory, warehousing fees, or Amazon seller fees, as well as reimbursements back to the owner. Even if no products sold, these are reportable.
When is Form 5472 due?
The deadline is the same as corporate returns. For calendar-year companies, it is due April 15, with an extension available to October 15 if you file Form 7004. Form 5472 must be attached to either a pro forma Form 1120 (for single-member LLCs) or a full Form 1120 (for corporations).
The IRS penalty for missing or late filings is $25,000 per year. Additional $25,000 penalties may apply if you ignore IRS notices. These penalties apply even if your business had no sales.
Special considerations for Amazon FBA sellers
Amazon FBA businesses almost always create a physical presence in the U.S. This happens when your inventory is stored in Amazon warehouses across the country. That physical presence may create what the IRS calls a “U.S. trade or business,” which can trigger additional obligations:
- The foreign owner may need to file Form 1040-NR as a non-resident individual with U.S. income.
- Filing 1040-NR requires an ITIN (Individual Taxpayer Identification Number). Bookmate doesn’t apply for ITINs directly, but we partner with theitin.com to help clients get one.
- Storing inventory in U.S. warehouses also creates sales tax obligations in certain states. Bookmate does not handle sales tax compliance, but you can use tools like Avalara or TaxJar to manage it. We focus on federal IRS filings.
Common questions from FBA founders
Does it matter what I sell on Amazon? No. Whether you sell books, toys, or electronics, the IRS only cares about your entity type and ownership.
Do I need to file if I had no orders? Yes. Even if there were no sales, if you transferred money into the company or paid expenses, those transactions are reportable.
What if I missed a filing? Bookmate does not typically prepare past filings, but we can guide you on how to handle them properly.
Staying ahead of filing
Keep records of every transaction between you and your company. For FBA sellers, this often means documenting inventory purchases, shipping costs, and Amazon seller fees. Tracking these carefully makes preparing Form 5472 much easier. Filing early avoids stress and penalties.
Example for an Amazon FBA business
A founder in Turkey forms a Delaware single-member LLC to sell home goods through Amazon FBA. In the first year, no sales occur, but he wires $20,000 into the company’s U.S. account to buy inventory and pay Amazon seller fees.
Because the inventory is stored in U.S. warehouses, the company has a U.S. presence that may also require filing Form 1040-NR with an ITIN. Regardless of sales, the $20,000 transfer is reportable, and he must file Form 5472 with a pro forma 1120.
How Bookmate helps FBA sellers
Bookmate specializes in U.S. federal filings for foreign-owned companies. For Amazon FBA businesses, we:
- Prepare and file Form 5472 with the pro forma 1120 for single-member LLCs.
- Prepare and file Form 1120 with Form 5472 attached for corporations with foreign shareholders.
- File from within the U.S. so submissions are accepted by the IRS.
- Provide guidance on how to approach past filings if you missed them.
We don’t apply for EINs or ITINs directly, but we partner with theitin.com for ITINs and recommend formation companies for EIN support. For sales tax compliance, you’ll need dedicated providers, while we handle your federal IRS filings.
Final thoughts
Running an Amazon FBA business through a U.S. entity as a foreign founder is one of the most common structures we see, but it comes with compliance requirements. The IRS doesn’t care what you sell—it only cares about your company’s structure.
If you are a foreign owner of a single-member LLC or corporation, Form 5472 is almost always required. Even without sales, filing is necessary if there were owner-related transactions.
Bookmate helps FBA founders worldwide stay compliant, avoid penalties, and focus on scaling their Amazon stores.
Learn more at trybookmate.co or book a consultation today.
