Q: Transferring funds/assets between a US LLC and a UK-registered Ltd Company?
I'm a British Citizen with a UK-registered Ltd Company.
I know I can open an LLC in the US, but can I also open a US business bank account for the LLC, or do I have to be a resident/Green Card holder? (I do hold a San Francisco City ID Card, which I believe allows me to open a checking account, but I've never needed to)
And, if I can open a business account in the US for the LLC, can I transfer funds/assets between the US LLC and my UK-registered Ltd Company? Is it possible to use a virtual address/business address in the US to open a business account? I do not reside in the US.
Apologies for the complicated question, hopefully someone can advise. I'm asking because I'd like to keep on top of any taxes I may need to pay in the US. Thank you in advance!
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A:
You can open a US LLC as a non-resident foreign national, and many banks will allow you to open a business account remotely, though requirements vary by institution. Some banks may require an EIN (Employer Identification Number) from the IRS, which you can obtain as a foreign business owner.
Using a virtual address or registered agent service is common practice for non-resident LLC owners, but when opening a bank account, you'll likely need to provide additional documentation to verify your identity and business legitimacy. Your San Francisco City ID could be helpful, though banks typically request multiple forms of identification including passports and proof of business registration.
Transferring funds between your US LLC and UK Ltd Company is possible through various methods like wire transfers or international ACH, but you'll need to maintain clear records for tax purposes in both countries. The IRS requires foreign-owned single-member LLCs to file Form 5472 annually, and you may have transfer pricing considerations depending on the nature and volume of transactions between your companies. Consider working with tax professionals in both countries to ensure compliance with international business regulations and tax obligations.
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