First of all, breathe. It happens more often than you think, especially with U.S. tax filing for non-residents or foreign-owned LLCs. The good news? Most mistakes can be fixed, but timing is everything.

Here’s what could happen if you file the wrong form:

* Delays or Rejections: If the IRS receives the wrong form (say, Form 1120 instead of 5472 + 1120 for a foreign-owned LLC), they may reject it, or worse, accept it and process it incorrectly.

* Penalties: Some forms, like Form 5472, carry heavy penalties (up to $25,000) even if your business made zero income.

* Audit Triggers: Wrong filings can flag your entity for unnecessary IRS scrutiny.

* Missed Benefits: Filing the wrong form could disqualify you from certain deductions or tax treaties you’re eligible for.

But don’t lose hope. If you realize it early:

You can file an amended return or submit the correct form with an explanatory cover letter.

If it’s your first time and the mistake was honest, you might be eligible for penalty relief or reasonable cause waivers.

A trusted expert can help you fix it properly without making things worse.

At Business Globalizer, we regularly help founder, especially non-residents, correct tax form errors and get back on track. From choosing the right form based on your structure (LLC, C Corp, Single vs. Multi-member) to filing it accurately and on time, we walk you through it all.

If you’re not sure what to do next, get in touch with our compliance team. It’s way easier to fix things now than to deal with IRS letters later.