KMA Chartered Professional Accountants is one of Vancouver Island’s largest providers of U.S. tax services, preparing returns for business owners from across Western Canada.
Our team is able to prepare returns for the following services for U.S. registered entities:
C Corporations returns
S Corporation returns
LLC returns and slips
Non-resident corporations required to file US information returns
U.S. information slips (1099’s and W-2’s)
If you are not sure of your reporting requirements, please contact one of our US tax specialists to discuss.
C Corporation Returns
C Corporations are separate legal entities from their owners and are taxed at the corporate level. In the U.S., C Corporations must file Form 1120, U.S. Corporation Income Tax Return. This form reports the corporation's income, gains, losses, deductions, and credits. C Corporations are subject to federal income tax and may also be subject to state and local taxes.
S Corporation Returns
S Corporations are corporations that elect to pass corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes. Shareholders of S Corporations report the flow-through of income and losses on their personal tax returns, and are assessed tax at their individual income tax rates. S Corporations file Form 1120S, U.S. Income Tax Return for an S Corporation.
LLC Returns and Slips
Limited Liability Companies (LLCs) in the U.S. have flexible tax reporting options. An LLC can be taxed as a sole proprietorship, partnership, or corporation depending on its structure and election made with the IRS. Single-member LLCs are typically treated as disregarded entities, while multi-member LLCs are treated as partnerships unless otherwise elected. LLC members report income on Schedule K-1 (Form 1065) if treated as a partnership.
Non-resident Corporations Required to File U.S. Information Returns
Non-resident corporations may be required to file U.S. information returns if they have income effectively connected with a U.S. trade or business or other U.S. source income. Forms such as Form 1120-F, U.S. Income Tax Return of a Foreign Corporation, might be applicable. These corporations may also need to file annual information returns to report transactions with related parties that occur in the U.S.
U.S. Information Slips (1099’s and W-2’s)
Information slips are used to report various types of income other than wages, salaries, and tips. Form 1099 is used to report income such as dividends, interest, non-employee compensation, and more. Form W-2 is used by employers to report wages paid to employees and the taxes withheld from them.