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USA Tax Advisory

Stay compliant with US tax law — without leaving India.

Federal and state tax filings, franchise tax, and IRS compliance — Legalkarobar.com manages your US tax obligations for your Delaware company or US-facing business.

IRS-Compliant Filings Federal & State Coverage DTAA Benefit Guidance
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Federal Income Tax Return Filing (Form 1120/1120-F)

Every US C-Corporation must file an annual federal income tax return, whether it's a domestic Delaware entity (Form 1120) or a foreign corporation with US-sourced income (Form 1120-F). Legalkarobar.com prepares and files this return accurately, based on reconciled books.

  • Form 1120 preparation for domestic C-Corps
  • Form 1120-F preparation for foreign corporations with US income
  • Filing required even with zero US income in many cases
  • Coordinated with your bookkeeping and franchise tax filing

Form 5472 & 5471 Compliance

If your Delaware company is 25% or more foreign-owned, Form 5472 is mandatory alongside your federal return — and the IRS penalty for missing it starts at $25,000 per form, per year, regardless of whether any tax was due. Form 5471 applies where a foreign corporation has US shareholders. Legalkarobar.com treats these as non-negotiable filings.

  • Form 5472 preparation for 25%+ foreign-owned US corporations
  • Form 5471 preparation where US shareholders hold foreign corporations
  • Related-party transaction reporting
  • Filed attached to your pro forma Form 1120

Franchise Tax & Annual Report Filing

Delaware franchise tax is owed simply for maintaining your company's legal existence — separate from federal income tax and due regardless of whether you had any US income or activity. Legalkarobar.com calculates the correct amount and files your annual report alongside it.

  • Delaware franchise tax calculation and payment
  • Annual report filing with the Delaware Division of Corporations
  • Applies whether or not the company traded
  • Deadline tracking to avoid late penalties and interest

Sales Tax Nexus & Registration

Selling into the US can create a sales tax obligation in a state even without a physical presence there, once your sales volume crosses that state's economic nexus threshold. Legalkarobar.com tracks your sales by state and registers for sales tax collection where it's actually required.

  • Economic nexus threshold monitoring by state
  • Sales tax permit registration where required
  • Guidance on marketplace facilitator rules
  • Coordinated with your e-commerce or SaaS billing setup

US-India DTAA & Withholding Tax Advisory

The US-India Double Taxation Avoidance Agreement can reduce withholding tax on certain cross-border payments between your Indian and US entities, but only with the right documentation in place. Legalkarobar.com prepares your treaty position and the forms — like Form W-8BEN-E — needed to claim it.

  • Treaty eligibility assessment for your structure
  • Form W-8BEN-E preparation for reduced withholding
  • Cross-border payment structuring guidance
  • Coordination with your Indian tax advisor for consistency

IRS Notice & Compliance Response

An IRS notice — a penalty assessment, an EIN mismatch, a missing-filing letter — has real deadlines and real consequences if ignored, and dealing with the IRS from India without local representation is genuinely difficult. Legalkarobar.com reviews the notice and manages the response.

  • IRS notice review and deadline tracking
  • Penalty abatement request preparation, where eligible
  • EIN and account issue resolution
  • Ongoing liaison so notices don't go unanswered
How It Works

From entity review to filed returns

Four steps, repeated every filing season without you dealing with the IRS directly.

1
Entity & Filing Obligation Review
We determine your entity type and exact federal and state filing obligations.
2
Documentation & Bookkeeping Reconciliation
We collect your financials and reconcile books for accurate filing.
3
Federal & State Filing
We file Form 1120, Form 5472, franchise tax, and annual reports as applicable.
4
Ongoing Monitoring & IRS Liaison
We track every deadline and respond to any IRS or state notices on your behalf.
Common Questions

USA tax advisory — frequently asked questions

Yes — most US corporations, including foreign-owned ones with zero income, must still file an annual federal return and, if 25%+ foreign-owned, Form 5472. Penalties for not filing can apply regardless of whether any income was earned.
Form 5472 is an IRS informational return required for US corporations that are 25% or more foreign-owned, reporting transactions with foreign related parties. Missing it can trigger a substantial penalty per form, per year, even with no tax due.
Federal tax, filed with the IRS on Form 1120, taxes actual US-sourced income. Delaware franchise tax is a separate state-level fee for maintaining your company's legal status, owed regardless of income or business activity.
Yes, if your structure and payments qualify, the treaty can reduce withholding tax on certain cross-border payments, but claiming it requires the correct forms, such as Form W-8BEN-E, and proper treaty-position documentation.
Late or missed filings can trigger IRS penalties that accrue over time, with especially heavy penalties for missed informational returns like Form 5472. We track every deadline to avoid this.
Get Started

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