What is Form 1040-NR and who files it?
Form 1040-NR is the federal income tax return that a nonresident alien individual files to report US income. The IRS says you must file if you are "engaged or considered to be engaged in a trade or business in the United States during the year", or if you are not engaged in a trade or business but have "U.S. income on which the tax liability was not satisfied by the withholding of tax" (IRS: Taxation of nonresident aliens).
The Instructions for Form 1040-NR list the triggers in Table A. The main ones for business owners are:
- You were engaged in a US trade or business, even if you had no income from it, no US-source income, or your income is exempt under a treaty.
- You had US-source income reportable on Schedule NEC and not all of the tax was withheld.
- You owe certain special taxes, such as household employment taxes.
Nonresident alien is a tax status, not a nationality. If you spend enough days in the US to count as a resident for tax purposes, you file a different return. Residency tests and treaty tie-breaker rules need a licensed professional's view.
Effectively connected income vs FDAP: the basics
US income of a nonresident falls into two main buckets, and they are taxed in different ways.
| Effectively connected income (ECI) | FDAP income | |
|---|---|---|
| What it is | US-source income connected with the conduct of a US trade or business | Fixed, determinable, annual or periodical income, such as dividends, interest, rents and royalties, that is not effectively connected |
| How it is taxed | After allowable deductions, at the graduated rates that apply to US citizens and residents | A flat 30% (or a lower treaty rate), with no deductions |
| How tax is usually paid | On Form 1040-NR | Often withheld at source by the payer |
Sources: IRS: Effectively connected income, IRS: FDAP income and Publication 519 (2025), US Tax Guide for Aliens.
The key question is whether you have a US trade or business. The IRS says foreign persons "generally are engaged in a U.S. trade or business when personal services are performed in the U.S.", but that the activities "must be 'considerable, continuous and regular'". The answer turns on the facts of your case.
Foreign-owned single-member LLC owners: do you need a 1040-NR?
Many do not, but it is a question to check each year, not an assumption. A US single-member LLC owned by a nonresident alien is normally disregarded for income tax, so its income is treated as your income. What matters is what that income is:
- If you run the business entirely from outside the US, with no US trade or business, no effectively connected income and no US-source FDAP income left untaxed, you will often have no US income tax and no 1040-NR requirement.
- If you or people working for you perform services in the US, or the business has a US office or other US operations, you may have a US trade or business and a 1040-NR filing duty, sometimes a state return too.
- A tax treaty between the US and your country of residence can change the result, but claiming a treaty position is itself a decision that needs advice.
Either way, the LLC still files its own Form 5472 and pro forma 1120 each year it has reportable transactions. Because the trade or business question depends on your facts, we recommend a review with a licensed tax professional (an enrolled agent, CPA or attorney) before you decide not to file. Our intake flags the answers that point toward a filing duty.
Due dates and the Form 4868 extension
| Your situation | Rule | For the 2026 tax year |
|---|---|---|
| You were an employee and received wages subject to US income tax withholding | 15th day of the 4th month after the tax year ends | 15 April 2027 |
| You did not receive wages subject to US income tax withholding | 15th day of the 6th month after the tax year ends | 15 June 2027 |
| Form 4868 filed by the regular due date | "six (6) more months to file" | Six months after your regular due date |
The due-date rules are from IRS: Taxation of nonresident aliens, which describes them as the dates you "must generally file" by, and the extension from IRS: About Form 4868. Most non-resident LLC owners have no US wages, so 15 June is their usual date.
An extension gives more time to file, not to pay. The IRS says "The extension is only for filing your return" (IRS: Get an extension to file your tax return), so any tax owed is still due by the regular date.
You need an SSN or ITIN to file
Publication 519 says: "You must have either a social security number (SSN) or an individual taxpayer identification number (ITIN) on your return." Nonresidents who are not eligible for an SSN apply for an ITIN on Form W-7, attached to the 1040-NR.
That package goes on paper to the IRS ITIN Operation in Austin, not by e-file, and the IRS says to allow 7 weeks, or 9 to 11 weeks if you apply from overseas (IRS: How do I apply for an ITIN?). If you need a first ITIN, start early. Our ITIN application service runs alongside this one.
What is included
- A filing-need questionnaire checked against the IRS filing triggers, with any points that need a licensed professional's view flagged to you.
- Preparation of Form 1040-NR with Schedule OI, which the IRS requires with every return, and Schedule NEC or the ECI schedules your income needs.
- A second-person review before you sign.
- Filing electronically where the IRS allows it, or on paper with your W-7 when you are applying for an ITIN.
- A Form 4868 extension on request, filed before the due date.
- A copy of the filed return in your portal and a reminder for next year.
What is not included
- A formal opinion on residency, treaty positions or whether you have a US trade or business.
- State income tax returns (quoted separately where needed).
- Representation before the IRS in an examination or collection matter.
Government fees
There is no IRS fee to file Form 1040-NR or Form 4868; the forms and instructions are free on irs.gov. Any tax you owe is paid to the IRS separately and is not part of our fee. Our fee is shown on the order card and the pricing page.
How it works
- Order and intake. Start your order and complete the filing-need questionnaire.
- Secure document upload. Upload income records, withholding statements and your passport (see security).
- Preparation and review. Our filing team prepares the return, and a second person reviews it.
- Your approval and signature. You check the figures and sign.
- Filing. We e-file where allowed, or send the paper return, with Form W-7 if needed, by tracked delivery.
- Tracking and reminders. The filed copy and any IRS response go to your portal, and we remind you before the next due date.
What we need from you
- Your SSN or ITIN, or the documents for an ITIN application.
- Your country of tax residence, foreign address and any foreign tax ID.
- Days spent in the US this year and in the two years before, with visa details if any.
- Your LLC's income and expense records, or its profit and loss for the year.
- Forms 1042-S, W-2 or 1099 showing US income and any tax withheld.
- Last year's return, if you filed one.
Doing it yourself vs using us
You can prepare and file a 1040-NR yourself using the IRS forms and instructions, and many consumer tax programs do not support it, which pushes people toward paper. If your only US income is FDAP income with the correct tax withheld, you may not need a return at all.
What our service adds is a check of whether you need to file, correct treatment of ECI and FDAP, Schedule OI completed properly, the ITIN application run in parallel with the return, and deadlines tracked alongside your LLC's own tax filing deadlines. When a question needs professional advice, we say so rather than guess.
Sources
- IRS: Instructions for Form 1040-NR (2025)
- IRS: Publication 519 (2025), U.S. Tax Guide for Aliens
- IRS: Taxation of nonresident aliens
- IRS: Effectively connected income (ECI)
- IRS: Fixed, determinable, annual, periodical (FDAP) income
- IRS: About Form 4868
- IRS: Get an extension to file your tax return
- IRS: How do I apply for an ITIN?
Fees, deadlines and rules on this page were last checked on 27 September 2026.