In Short: Forming a US LLC From India
An Indian resident can form and own a US LLC entirely online, with no US visa, Social Security number or visit. The work splits into two sets of rules: US filings and Indian foreign exchange and tax reporting.
- Who can form one: any Indian citizen or resident. The US places no citizenship or residency requirement on LLC owners.
- Best state for most founders: Wyoming, at $100 to form and $60 a year, or New Mexico, at $50 to form with no annual report.
- EIN: no SSN or ITIN is needed. The IRS accepts Form SS-4 by fax or mail, and BusinessAnywhere files it for $97.
- US tax filing: a single-member LLC owned by a non-US person files Form 5472 with a pro forma Form 1120 every year. The IRS penalty for missing it starts at $25,000.
- Indian rules: money sent to fund the LLC is an overseas direct investment under the RBI’s 2022 rules and the Liberalised Remittance Scheme, and the holding is reported in Schedule FA of your income tax return.
- Cost with BusinessAnywhere: $197 in year one for a Wyoming LLC with the EIN, and $207 a year after.
A US LLC gives an Indian founder a US company to sign US clients, sell on US marketplaces and accept payments through US processors. Forming one takes four steps: pick the state, file the company, get the EIN and open a bank account. Keeping it in good standing means one state filing and one federal filing a year, plus your Indian reporting.
This guide replaces our two earlier India guides and covers both sides: the US filings and the Indian foreign exchange and tax rules that apply to residents of India.
US LLC From India at a Glance
| Who can form | Any Indian citizen or resident; no US visa, SSN, ITIN or visit required |
|---|---|
| Recommended states | Wyoming ($100 to form, $60 a year) or New Mexico ($50 to form, no annual report) |
| Registered agent | Required in the state of formation; BusinessAnywhere includes year one free, then $147 a year |
| EIN | Form SS-4 by fax or mail without an SSN; BusinessAnywhere files it for $97 |
| US federal filing | Form 5472 with a pro forma Form 1120 each year for a single-member LLC |
| Indian rules | RBI Overseas Investment Rules 2022, the LRS ceiling and Schedule FA disclosure |
| Year-one cost with BusinessAnywhere | $197 for a Wyoming LLC with the EIN |
Can an Indian Resident Own a US LLC?
Yes. No US state requires an LLC owner to be a US citizen or resident, and the whole process runs online. You need a passport, a US registered agent in the state of formation and, for most banks, a US business address. You do not need a US visa to own the company. A visa matters only if you plan to work in the United States in person.
Owning the LLC and working inside the US are different questions. Running the company from India and selling to US customers is ownership. Moving to the US to run it requires a visa that permits work.
Step 1: Choose the Right State
Form the LLC in the state where it does business. For an Indian founder selling online with no US office or staff, that is any state you choose, so the choice comes down to cost and upkeep.
| State | Formation fee | Yearly state cost | Best for |
|---|---|---|---|
| Wyoming | $100 | $60 minimum annual report | Most non-resident founders: low cost, strong privacy |
| New Mexico | $50 | No annual report | The lowest ongoing state cost |
| Delaware | Higher | Annual LLC tax | Founders raising venture capital, who form a Delaware corporation instead |
| Your US operating state | Varies | Varies | Founders with a US office, staff or warehouse there |
See the full breakdowns of Wyoming LLC costs, New Mexico LLC costs and Delaware LLC costs.
Step 2: File the LLC and Appoint a Registered Agent
- Pick a name and check it is available in the state’s business search, such as the Wyoming business search.
- Appoint a registered agent with a street address in the state. The agent receives lawsuits and state notices for the company. You cannot act as your own agent from India.
- File the Articles of Organization with the Secretary of State and pay the state fee.
- Sign an operating agreement. Banks ask for it, and it records that you own 100% of the company.
- Save the stamped articles; you need them for the EIN and the bank.
BusinessAnywhere files the LLC for $0 plus the state fee, includes the first year of registered agent service and renews it at $147 a year. Standard filing takes 10 to 14 working days, or 5 days for $57 and 2 days for $77.
Step 3: Get an EIN Without an SSN
The EIN is the company’s US tax number. Banks, payment processors and marketplaces ask for it. Without an SSN or ITIN you cannot use the IRS online application, so the request goes on Form SS-4 by fax or mail, with “Foreign” entered on the line for the responsible party’s tax number.
You do not need an ITIN to get an EIN. BusinessAnywhere’s EIN application service prepares and files Form SS-4 for $97 for owners with or without an SSN. You need an ITIN later only if you file a US personal return or claim treaty benefits, and BusinessAnywhere’s ITIN application partner handles that.
Step 4: Open a US Business Bank Account
Several US fintech banks open accounts for non-resident owners online. They ask for the stamped articles, the EIN letter, the operating agreement, your passport and a US business address. Use the same address, phone number and spelling of your name on every application; mismatches are the most common reason accounts are declined.
A registered agent address is not a mailing address for most banks. A virtual mailbox gives the company a US street address with mail scanning, from $20 a month billed annually. See our business banking options for founders outside the US.
Indian Rules: RBI Overseas Investment and the LRS
Sending money from India to capitalize a US LLC is an overseas direct investment by a resident individual. Under Schedule III of the RBI’s Foreign Exchange Management (Overseas Investment) Rules, 2022, a resident individual can invest only in an operating foreign entity that is not engaged in financial services and that has no subsidiary or step-down subsidiary the individual controls.
- Investment ceiling: the investment counts toward the Liberalised Remittance Scheme ceiling of USD 250,000 per financial year.
- Bank route: the remittance goes through your authorised dealer bank in India, which reports the investment.
- Structure: keep the US LLC as the operating company. An LLC that holds another company you control falls outside what the rules permit for individuals.
- Advice: confirm the forms and timelines with your bank and a chartered accountant before the first remittance.
US Tax Filing: Form 5472 and the Pro Forma 1120
A single-member LLC owned by a non-US person is a disregarded entity for US income tax, but it still files Form 5472 with a pro forma Form 1120 every year. The return reports transactions between you and the company, including the money you put in and take out. It is due by April 15 for a calendar-year company, and the IRS penalty for missing it starts at $25,000.
An LLC with no US office, staff or US-based work by the owner does not owe US federal income tax when its income is not effectively connected with a US trade or business. Confirm that this applies to you before you rely on it. BusinessAnywhere’s US LLC tax filing service prepares and files Form 5472 with the pro forma Form 1120 for $497 a year.
Indian Tax: Global Income and Schedule FA
A tax resident of India is taxed on worldwide income, so profit the US LLC earns is reported in India. India and the United States have a double taxation avoidance agreement that prevents the same income being taxed twice, but how the LLC’s income is treated in India depends on your facts, so work it out with a chartered accountant.
Resident individuals also disclose foreign assets, including shares or interests in a foreign company, in Schedule FA of the income tax return, even when income is below the exemption limit. Schedule FA follows the calendar year for a US company, so an interest held in 2026 is reported in the return for financial year 2026-27. For planning across both countries, BusinessAnywhere offers a tax and residency consultation.
What a US LLC From India Costs
| Item | Year one | Each year after |
|---|---|---|
| Wyoming state fee | $100 formation | $60 annual report |
| Registered agent (BusinessAnywhere) | Free | $147 |
| EIN (BusinessAnywhere) | $97 | None |
| Total, formation and upkeep | $197 | $207 |
| Form 5472 filing (BusinessAnywhere, optional) | $497 for the formation year, due the next April | $497 |
| Virtual mailbox (optional) | $240 | $240 |
Compare providers in our roundup of the best LLC formation services.
Common Mistakes Indian Founders Make
- Skipping Form 5472 because the LLC earned nothing. The filing is due whether or not there was income.
- Funding the LLC outside the ODI route, such as through a friend’s account, which leaves no record of the investment with your bank.
- Leaving the LLC out of Schedule FA in the Indian return.
- Using the registered agent address as the bank address, which most banks reject.
- Letting the agent lapse, which leads to missed state notices and, in time, administrative dissolution.
Form Your US LLC From India With BusinessAnywhere
BusinessAnywhere forms your US LLC for $0 plus the state fee, includes a free first year of registered agent service, gets the EIN without an SSN for $97 and files Form 5472 for $497 a year.
Frequently Asked Questions
Can an Indian citizen open an LLC in the USA?
Yes. No US state requires an LLC owner to be a US citizen or resident, and the LLC can be formed online from India without a visa or a US visit.
Do I need an ITIN to form a US LLC from India?
No. You form the LLC and get the EIN without an ITIN by filing Form SS-4 with the IRS by fax or mail. An ITIN is needed only for a US personal return or treaty claims.
Which state is best for a US LLC from India?
Wyoming suits most founders, at $100 to form and $60 a year. New Mexico costs $50 to form and has no annual report. Delaware suits founders raising venture capital, who form a corporation.
How much does it cost to form a US LLC from India?
With BusinessAnywhere, a Wyoming LLC with the EIN costs $197 in year one and $207 a year after, before optional services such as a virtual mailbox or Form 5472 filing.
Does a US LLC owned from India pay US tax?
A single-member LLC with no US office, staff or US-based work by the owner does not owe US federal income tax when its income is not effectively connected with a US trade or business, but it files Form 5472 with a pro forma Form 1120 every year. The penalty for missing it starts at $25,000.
Do I need RBI approval to invest in my US LLC?
Investment by a resident individual in an operating foreign company goes through the automatic route under the RBI’s 2022 Overseas Investment Rules, within the LRS ceiling of USD 250,000 per financial year, and is reported through your authorised dealer bank.
Do I report my US LLC in my Indian tax return?
Yes. Resident individuals disclose foreign assets, including interests in a foreign company, in Schedule FA, and report their worldwide income.
Can I open a US bank account for my LLC from India?
Yes. Several US fintech banks open accounts online for non-resident owners with the stamped articles, EIN letter, operating agreement, passport and a US business address.
This guide summarizes IRS, state and Reserve Bank of India rules as of October 2026. It is general information, not legal, tax or foreign exchange advice. Confirm your position with a chartered accountant in India and a US tax professional before you invest or file.
