LLC not compliant with annual forms

[disagree]

Hello,

As a lot guys know here, US LLC (disregarded entity) have to file for forms 5472 + 1120 pro forma every year, to report for "reportable transactions", that are usually if you put money in the LLC or if you take money out of it on the member's personal account.

I recently talked to a guy who didn't know about this obligation, so he didn't file these forms for 3 years in a row.

I know that fines for this are up to 25k for each year. Now my question is: if you find yourself in a situation like this, is better to file asap for the past years or just go ahead and file for the next obligations?

 

[daniels27]

You can call IRS and ask for a first time abatement.

 

[daniels27]

Their number for this is +1 267 941 1000

 

[disagree]

Thank you man. Curious to know if someone have direct experience too with such issues that maybe can contribute with a feedback...

 

[daniels27]

Yes, I called them last year and got an abatement for $50k for two forms that were filed late. Took like 5 minutes on the phone and the matter was solved.

It later turned out that it actually was an error on their end. I never did file any 5472 and was not required to. But they somehow scanned such forms and fined me for filing late.

 

[disagree]

Yes, I called them last year and got an abatement for $50k for two forms that were filed late. Took like 5 minutes on the phone and the matter was solved.

It later turned out that it actually was an error on their end. I never did file any 5472 and was not required to. But they somehow scanned such forms and fined me for filing late.

Did they ask you for a legitimate reason to give you the abatement? I was reading that they want to hear some actual motivation.

 

[daniels27]

Did they ask you for a legitimate reason to give you the abatement? I was reading that they want to hear some actual motivation.

If you sound helpless, they have normally offer it to you.

 

[cyprusbanker]

Are you guys completing the forms and filing taxes your self for the US LLC ?

 

[daniels27]

Are you guys completing the forms and filing taxes your self for the US LLC ?

I am only doing protective filling for a foreign company. But the US LLC ones are not much different. You can easily do it yourself.

 

[blizz]

How often you get requests from the US tax office if you own a US LLC where you file the required forms etc. is it complicated to maintain a US company ?