IRS Form 1120 (and pro forma Form 1120)
The federal corporate income tax return. The pro forma version is filed by foreign-owned single-member LLCs alongside Form 5472.
Definition
Form 1120 is the US federal corporate income tax return. Filed by Delaware C-Corporations to report income, deductions, credits, and tax owed. The pro forma Form 1120 is a near-blank version filed by foreign-owned single-member US LLCs solely to provide a filing vehicle for the attached Form 5472. The pro forma Form 1120 itself reports the LLC's identifying information but no income-tax computation.
Context
For foreign-owned single-member Delaware LLCs treated as disregarded entities, the federal filing each year is Form 5472 + pro forma Form 1120, due April 15. The pro forma Form 1120 is structurally required even though it produces no federal income tax owed at the entity level.
Example
A Bangladeshi founder's single-member Delaware LLC files Form 5472 + pro forma Form 1120 each year by April 15. The pro forma Form 1120 includes the LLC's name, EIN, address, and the tax year covered. Most lines are blank or marked N/A. The Form 5472 attached carries the actual disclosure.
Common pitfalls
- Filing Form 5472 alone without the pro forma Form 1120 is not compliant.
- The pro forma Form 1120 must be marked appropriately to distinguish it from a full corporate return.
- CPA fees for the pro forma Form 1120 + Form 5472 package typically run $200-$500 per year.