Delaware C Corp start up spent $$ over two years before folding. No income and all money spent in Israel writing software. No compensation to founders. Must we file 1120 and Form 5471? Need cpa or can we file ourselves?
Tell me more
×
Answers OnStartups is a question and answer site for
entrepreneurs looking to start or run a new business. It's 100% free, no registration required.
|
|
|
Form 5471 is required to be filed for US persons with respect to holding (shares) in certain foreign corporations. The penalty for non filing is USD 10000. Also, Schedule O needs to be filed along with the same for reporting of acquisition/ disposition of the foreign stock. (even if no money made, company folded up etc.) The above, as a matter of caution, should be filed as they are compulsorily required information returns. I'd suggest filling up the forms but getting it screened by a CPA. Cheers!! Ashish |
|||
|
|
|
You always have to file a tax return, even if you made nothing. You also have to pay the C Corp fees as well. You can certainly file it on your own without an accountant -- it sounds pretty straight forward. |
|||
|
|
