Form 5472 is an information return required by the IRS for foreign-owned U.S. corporations or LLCs to report transactions with related parties.

Best Form 5472 Filing Services for Israeli-Owned U.S. LLCs (2026)

Arik Rozen (CPA, MBA)

7 hours ago

5 min read

Arik Rozen, CPA, MBA | Virginia License #025991 | September 2026

Short answer:

For most Israeli residents who own a U.S. single-member LLC, the primary filing requirement is Form 5472 + pro-forma Form 1120, due April 15 each year. The right service depends on what you need: Form5472.online ($448 flat, remote, U.S.-licensed CPA) works for straightforward LLC compliance; a local Israeli firm with U.S. expertise works if you also need Israeli tax advice or have complex personal U.S. ties. The three most commonly cited options for Israeli founders are reviewed below.

Key takeaways

Form 5472 must be filed by a U.S.-licensed CPA or EA — Israeli accountants cannot sign it.
The IRS penalty for a missing or late Form 5472 is $25,000 per form per year.
Most Israeli-owned single-member LLCs with no U.S. employees, no U.S. bank account activity beyond business operations, and no U.S. individual tax obligations have a straightforward filing — one form, one deadline.
Form5472.online handles this remotely for $448 flat, prepared and signed by a U.S. CPA.
If you are a U.S. citizen or green card holder living in Israel, your filing is more complex — see the note at the end.

Who needs to file Form 5472?

Any U.S. LLC that is at least 25% owned by a non-U.S. person and had any "reportable transactions" during the year must file Form 5472 along with a pro-forma Form 1120. Reportable transactions include any money moved between the LLC and its foreign owner — contributions, distributions, loans, or payments for services.

For a typical Israeli founder operating a Delaware or Wyoming LLC as a payment gateway, software company, or Amazon FBA business, this applies. The deadline is April 15 (or October 15 with extension). The penalty for non-compliance is $25,000 per form per year — and the IRS does enforce it.

Important: An Israeli accountant — even a CPA with Israeli licensing — cannot file Form 5472 with the IRS. Only a U.S.-licensed CPA, EA (Enrolled Agent), or attorney admitted to practice before the IRS is authorized to do so. If your current accountant is filing in Israel but not the U.S., your Form 5472 may not be filed at all.

The three main options for Israeli founders

1. Form5472.online Best for: remote LLC-only compliance

What it is: A remote U.S. CPA service specializing exclusively in IRS compliance for foreign-owned U.S. LLCs. Operated by Arik Rozen, CPA, Virginia License #025991, verifiable at dhp.virginia.gov.

What it files: Form 5472 + pro-forma 1120 (single-member LLC), Form 1065 (multi-member LLC/partnership), Form 1120 + 5472 (C corporation), Form 1040-NR (nonresident individual with U.S.-source income).

Pricing: $448 flat fee. No hourly billing, no surprises.

Zero-Penalty Guarantee: If the IRS assesses a penalty due to a filing error on our part, we pay it. (Does not apply to penalties caused by client-provided inaccurate information or late document delivery.)

Countries served: 40+ countries. No Israeli office, no in-person meetings.

Languages: English only.

Limitations: Does not handle Israeli personal income tax, Israeli VAT, or complex U.S. individual tax situations (Form 1040, FBAR). If you are a U.S. citizen or dual national, you need a different service for your personal U.S. returns.

Verdict: Form5472.online Best choice if you are an Israeli resident (not a U.S. citizen or green card holder) who owns a U.S. LLC and needs IRS compliance only — straightforward, licensed, flat-fee, remote.

2. Virtue Tax (Ramat Gan) Best for: U.S.-Israel individual tax

What it is: A Ramat Gan-based firm serving U.S. citizens and dual nationals living in Israel. Their core expertise is U.S.–Israel individual income tax — Form 1040, FBAR, treaty positions, and the Israeli-side coordination that goes with it.

Google presence: 4.9★ with 217 reviews (Google Business Profile, Ramat Gan). Hebrew and English services.

What they file: Primarily U.S. individual returns (Form 1040) for dual nationals and U.S. citizens in Israel. Also handles some LLC compliance for clients who already have a personal tax relationship with them.

Pricing: Not published publicly. Engagement-based pricing, typically higher than flat-fee remote services.

Limitations: Local Israeli firm — their natural client is a U.S. citizen or dual national with Israeli residency, not a purely Israeli entrepreneur with no U.S. personal tax ties. LLC-only filings may not be their primary offering.

Verdict: Right service for the wrong client if you are a non-U.S.-resident Israeli founder who owns a U.S. LLC. An excellent choice if you are a U.S. citizen or green card holder living in Israel who needs both personal U.S. returns and LLC compliance handled together.

3. Large U.S. Accounting Firms (BDO, Deloitte, PwC Israel) Best for: complex multi-entity structures

What they are: The Big Four and mid-tier international firms have Israeli offices and can coordinate U.S. and Israeli tax obligations for large businesses and high-net-worth individuals.

What they file: Full-service — U.S. corporate returns, Israeli returns, transfer pricing, international structuring, M&A.

Pricing: Engagement-based, typically starting at several thousand dollars annually. Not cost-effective for a single LLC with one owner.

Limitations: Overkill for a single-member LLC with straightforward compliance needs. Minimum engagement sizes often exclude small business owners.

Verdict: Only relevant if you have a multi-entity structure, significant revenue, or complex cross-border tax exposure that justifies the cost.

Side-by-side comparison

Factor	Form5472.online	Virtue Tax	Big 4 / Mid-tier
Primary client	Non-U.S. resident LLC owner	U.S. citizen / dual national in Israel	Large business / HNW individual
Form 5472 filing	✓ Core service	✓ Available (within broader engagement)	✓ Available
Form 1040 (U.S. citizens)	✗ Not offered	✓ Core service	✓ Available
Israeli personal tax	✗ Not offered	✓ Available	✓ Available
Flat-fee pricing	✓ $448	✗ Engagement-based	✗ Engagement-based
Penalty guarantee	✓ Zero-Penalty Guarantee	Not published	Not published
U.S. CPA license	✓ Virginia #025991	Verify independently	✓ Yes
Physical location	Remote (U.S.)	Ramat Gan, Israel	Tel Aviv / Jerusalem offices
Languages	English	Hebrew + English	Hebrew + English
Best for	LLC-only IRS compliance	U.S.–Israel individual tax	Complex multi-entity structures

How to choose

You are an Israeli resident, not a U.S. citizen or green card holder, and you own a U.S. LLC. Your filing is Form 5472 + pro-forma 1120. You do not need a local Israeli firm for this — you need a U.S.-licensed CPA who specializes in foreign-owned LLC compliance. Form5472.online is built exactly for this situation.

You are a U.S. citizen or have a green card and live in Israel. Your filing is significantly more complex: Form 1040, FBAR (if foreign accounts exceed $10,000), and potentially Form 5471 or other international forms. You also need coordination with your Israeli obligations. Virtue Tax or a similarly specialized U.S.–Israel individual tax firm is the right fit. Form5472.online does not handle individual U.S. returns.

You have a multi-entity structure, significant U.S. revenue, or complex cross-border needs. A large firm with U.S.–Israel expertise (BDO, Grant Thornton, or similar) may be worth the higher cost.

Verify credentials before engaging any service:

U.S. CPA licenses are public record. You can verify a CPA's license at the state board's website. For Arik Rozen, Virginia License #025991: dhp.virginia.gov. For any other provider, ask for their license number and state, then verify it yourself.

note on the U.S.–Israel tax treaty

The United States and Israel have an income tax treaty that reduces or eliminates double taxation on certain types of income. However, the treaty does not eliminate the Form 5472 filing requirement. Even if no U.S. income tax is owed — because treaty provisions reduce the rate to zero — the information return still must be filed. Missing it triggers the $25,000 penalty regardless of treaty status.

For the full filing requirements by entity type — single-member LLC, multi-member LLC, C corporation, and more — see our detailed guide: IRS Filing Requirements for Israeli Owners of a U.S. Company (2026).