As a non-resident alien, owning a company overseas, am I subject to U.S income tax?

Houston Tax Attorney


I have an L-2 non-immigrant visa, leave in is the US and own a small Limited Company located in Hong Kong. 

Am I subject to US income tax if I make profits? What if I take a Director remuneration?

If you’re the only member of the LLC, then all gross income or net profits (depending on whether you made an S-corp election) flow to your personal return. Since you are a US resident, then it’s likely that income will be subject to US income tax. If there are more than one members in the LLC and some of the members are not US persons, then their pro rata share of the profits might not be subject to US tax, assuming the income earned by the LLC is not effectively connected to US trade or business. If the income is taxable in the US, you would be able to claim a foreign tax credit if you also paid tax in the foreign jurisdiction. You should contact an attorney specializing in this area for advice.

-Law Office of Kunal Patel, LLC

Comments are closed.