Tax Services
Foreign Business Expansion
US market-entry structuring for foreign companies
Entering the US market? The entity you pick on day one decides your tax for years.
Entity selection, registration, and tax setup for foreign companies expanding into the United States — structured so profits repatriate efficiently and every filing obligation is covered from the first day of operations.
A US entity and tax structure built for efficient repatriation — right the first time.
Core Directives
- Entity & state selection
- Repatriation planning
- Turnkey tax setup
Ready when you are
Operational Milestones
Advise
We recommend the entity type, state, and ownership structure that fit your goals, your home-country tax, and any applicable treaty.
Establish
We register the entity, obtain the EIN, and make the tax elections — coordinating with your legal and banking partners.
Operate
We set up transfer pricing, the compliance calendar, and ongoing filings (1120, 5472, state returns) so your US arm runs clean.
Included Services & Outcomes
The Wrong US Structure Is Expensive to Unwind
Choosing the wrong US entity, state, or ownership structure at launch can lock in double taxation, branch-profits tax, and costly restructuring later. The right structure has to be in place before the first US dollar is earned.
Questions
Foreign Business Expansion FAQ
Should my US business be a corporation, LLC, or branch?
It depends on your home country, treaty, and how you'll repatriate profit. A C-corp caps US tax at the corporate rate but adds a layer on dividends; an LLC can be transparent; a branch avoids a second entity but triggers branch-profits tax. We model all three against your specific facts.
Which state should I form my US company in?
Not always Delaware. The right state depends on where you'll have employees, property, and customers (nexus), and each state's tax. We choose the state that minimizes your overall tax and compliance burden — not just the default.
How do I get profits back to my parent company tax-efficiently?
Through the right mix of dividends, royalties, interest, and management fees — each with different withholding and deductibility. We combine treaty rates and transfer pricing to move profit home with the least combined tax.
What is Form 5472 and does my US company need it?
Any US corporation with 25% or more foreign ownership must file Form 5472 to report transactions with related foreign parties. The penalty for missing it is a minimum $25,000 per form. We keep it filed accurately and on time.
How long does it take to set up a US business?
Entity formation and EIN registration typically close in 2 to 3 weeks. Full operational setup — banking, transfer pricing, tax elections, and compliance calendar — usually takes 6 to 10 weeks, flexing with your launch timeline.
Put SMAART Tax on your foreign business expansion
Book a free consultation. We'll review your situation, quote a fixed fee, and show you exactly what we'd do differently.