There’s a moment almost every global online seller or freelancer experiences.

You’re building your store, serving clients, running campaigns, making sales — everything feels smooth.

Until one email from Stripe, PayPal, or your accountant interrupts the peace:

“Please provide your tax documents.”

Your stomach tightens.

Because taxes feel like the one part of business nobody prepared you for — especially U.S. taxes as a non-resident.

Most global sellers assume U.S. tax filing is something only Americans deal with.

But the reality is simple:

If your income touches the United States in any meaningful way, the IRS expects you to file correctly — even if your tax owed is zero.

This guide breaks down U.S. tax filing for online sellers and freelancers the simple way.

Many non-US founders use structured U.S. tax filing services to keep their compliance accurate across all platforms.

No legal jargon.

No fear.

Just clarity you can actually use.

Let’s begin.

Who Needs to File U.S. Taxes?

If you are a non-U.S. resident and you earn income that is considered “U.S.-sourced,” you must file a U.S. tax return.

This includes:

• Amazon, eBay, Walmart, Etsy, or Shopify sellers targeting U.S. customers
• Dropshippers using U.S. suppliers
• Freelancers paid by U.S. clients
• Agencies serving U.S. businesses
• SaaS founders with U.S. subscribers
• Consultants earning U.S. income
• Anyone operating a U.S. LLC (even with $0 revenue)

Those forming a new entity can review standard U.S. company formation requirements to understand how structure affects tax filing.

The IRS doesn’t care where you live.

They care where the money comes from and what structure you’re using.

If your business has a U.S. footprint → there’s a filing responsibility.

The Non-Resident Rule Most Founders Don’t Know

The IRS has a simple rule for foreign-owned single-member LLCs:

You must file a federal tax return every year — even if you didn’t make money.

Why?

Because the IRS needs:

• a record of business activity
• proof your company still exists
• confirmation of non-U.S. sourcing
• proper documentation for compliance

This is where many online sellers and freelancers get into trouble. They assume “no income means no tax filing.” But a “zero return” is often legally required.

U.S. Tax Forms You Might Need

Here’s the simplest explanation of U.S. filing forms for non-residents. Take a look below:

Form 1040-NR (Nonresident Income Tax Return)

Required for:

• freelancers with U.S. clients
• consultants earning U.S. income
• creators receiving U.S. royalties
• U.S. LLC owners taking payments personally

This is your individual non-resident tax return.

Form 5472 (for Foreign-Owned Single-Member LLCs)

If you own a U.S. LLC alone, this form is mandatory.

You also need the accompanying:

• Pro-forma 1120

This is the most commonly missed filing for online sellers.

Penalty for missing it?

$25,000 per year, per occurrence.

This is why proper filing matters.

Form 1120 / 1120-S

Applies only if you operate as a:

• U.S. C-Corp (1120)
• LLC taxed as S-Corp (1120-S, not available to non-residents)

Most non-residents avoid C-Corp unless they’re raising investment.

State Tax Filings

Depending on the state of formation, you may need:

• annual franchise tax
• state-level income tax
• state reports

Examples:

• Delaware: franchise tax
• Wyoming: annual report
• California: $800 minimum tax (if applicable)

Sales Tax Filings (For E-commerce Sellers)

If you sell physical products, you may need to file sales tax in states where you have:

• economic nexus
• marketplace activity
• inventory in fulfillment centers (FBA)

Amazon handles some filings automatically, but not all. Another thing: you will need a resale certificate or sales permit during your sales tax filing.

BOI Reporting (Beneficial Ownership Information)

Required under the Corporate Transparency Act.

Foreigners must file within 90 days of forming the company. Though at this moment, BOI reporting is optional, you should still file to stay compliant.

U.S. Tax Filing Checklist for Online Sellers & Freelancers

Here is the clean, founder-friendly checklist that keeps your business safe.

Confirm Your Residency Category

For tax purposes, you are a nonresident alien if:

• You are not a U.S. citizen
• You do NOT pass the Substantial Presence Test

Most foreign founders fall into this category.

Know Where Your Income Is Sourced

The IRS cares about sourcing:

• Product sales to U.S. customers → U.S. sourced
• Services performed for U.S. clients → U.S. sourced
• Royalties from U.S. platforms → U.S. sourced
• E-commerce sales shipped from U.S. warehouses → U.S. sourced

Understanding this determines your filing responsibility.

Determine Your Business Type

Your tax obligation depends on your setup:

A. Foreign-owned Single-Member LLC

→ Must file 1040-NR, 1120 pro-forma, and Form 5472.

B. Multi-Member LLC

→ Pass-through taxation, additional partner filings.

C. C-Corp

→ Corporate tax + personal filings if taking income.

Gather Mandatory Documents

You’ll need:

• LLC Articles (Articles of Organization)
• EIN letter
• Operating Agreement
• Passport / ID
• Stripe / PayPal 1099-K (if issued)
• Wise / Payoneer statements
• Marketplace statements (Amazon, Etsy, etc.)
• Expense records
• Bank statements

Good bookkeeping = clean filing.

Track Your Deductions

Online sellers and freelancers can deduct:

• software tools
• ad spend
• Shopify fees
• hosting costs
• marketing expenses
• contractor payments
• office equipment
• subscriptions
• phone/internet
• fulfillment fees
• shipping costs

Deductions reduce your taxable U.S. income.

Check If You Need an ITIN

A non-resident needs ITIN for:

• filing 1040-NR
• claiming tax treaty benefits
• PayPal verification
• certain Stripe reviews
• receiving U.S. income as an individual

Founders who require tax identification for these filings typically use a verified ITIN application service to avoid delays.

If you file as a person, not a company → ITIN is essential.

File Your Federal Returns

Single-Member LLC (Foreign-Owned)

• April 15 — Form 1040-NR (if U.S. income)
• April 15 — Form 1120 (pro-forma) + Form 5472

Automatic extension to June 15 if living outside the U.S.

Extension to October 15 available

Multi-Member LLC

(Taxed as partnerships unless elected otherwise)

• March 15 — Form 1065 (partnership return)
• April 15 — Individual partner returns (1040-NR for foreign partners)
• Extensions available to September/October depending on form

C-Corporation

• April 15 — Form 1120
• Extension to October 15 available

Individual Non-Resident (No LLC / Personal U.S. Income)

• April 15 — Form 1040-NR
• Automatic extension to June 15 if living abroad
• Extension to October 15 available

File State Returns (if required)

Check your state rules:

• Delaware: franchise tax by March 1
• Wyoming: annual report by formation anniversary
• Texas: franchise tax by May 15

File BOI Report

Filing window:

• within 90 days of formation (for new companies)
• by Jan 1, 2025 for older companies

Keep Proof of Filing

Always save:

• IRS confirmation
• state receipts
• BOI filing confirmation
• accountant records

You will need them for Stripe, PayPal, Amazon, and banking reviews.

Zero-Tax Return: When You Made No U.S. Income

Even if:

• Your store didn’t launch
• You had no sales
• Your clients didn’t pay
• Your agency had $0 revenue

You still must file a zero return if you have a U.S. LLC.

The IRS wants documentation, not assumptions.

Common Mistakes Non-Resident Sellers & Freelancers Make

Avoid these tiny mishaps and your tax life becomes smooth:

• thinking “no income = no filing”
• ignoring Form 5472
• forgetting the pro-forma 1120
• using wrong addresses on tax forms
• mixing personal and business income
• not keeping bookkeeping clean
• applying late for ITIN
• misunderstanding sourcing rules
• relying on random internet tax advice

These mistakes cause IRS notices, penalties, or platform issues.

Expert Tips to Keep U.S. Tax Filing Simple

Short, actionable, and founder-friendly:

• Keep every document identical across systems.
• Maintain bookkeeping monthly, not yearly.
• Get an ITIN early if you earn personally from the U.S.
• Never skip Form 5472 if you own a single-member LLC.
• Track all Stripe/PayPal payouts clearly.
• Save invoices for every expense.
• File BOI report on time.
• Don’t mix personal and business transfers.
• Work with professionals — not assumptions.
• Treat tax filing as business protection, not a burden.

If You Want Your U.S. Taxes Filed Correctly

If you want to avoid mistakes, penalties, IRS notices, rejections, or missing forms, Business Globalizer handles all U.S. tax filings for global founders — cleanly and correctly.

They assist with:

• U.S. company formation
• U.K. & UAE company formation
• EIN & ITIN applications
• Full U.S. tax filing for non-residents
• State reports & franchise taxes
• BOI reporting
• Banking setup (Mercury, Relay, Wise, Revolut)
• Stripe & PayPal compliance
• High-risk merchant accounts
• U.S. eCommerce setup
• Trademark registration
• Resale certificates

For this topic, two services matter most:

• U.S. Company Formation — the right foundation for tax compliance
• U.S. Tax Filing Support — federal, state, and BOI filings done correctly

They take care of all the paperwork with great efficiency. So you stay compliant, confident, and stress-free.

Final Words

U.S. taxes aren’t actually complicated — they’re structured.

You just need to know which forms apply to your business and file them on time.

Once you understand your responsibilities, tax filing becomes:

• predictable
• manageable
• repeatable

A clean tax record protects your business, strengthens your payment systems, and keeps platforms like Stripe, Amazon, PayPal, and banks comfortable working with you.

Your business can be global.

Your clients can be global.

Your income can be global.

But your compliance must be clear. And the U.S. rewards founders who stay organized.