Confirm all three parts before using that wording
- U.S. entity: the entity is domestic, such as an LLC organized under a U.S. state’s law.
- Disregarded entity: it has one owner and has not made an effective election that changes its federal classification.
- Wholly foreign owned: its single owner is a foreign person, and the EIN is being requested for the Form 5472 reporting purpose described by the IRS.
The SS-4 disregarded-entity instructions state this wording directly.
Line 9a is not a tax election
The IRS explicitly cautions that line 9a is not an election of tax classification. A domestic single-member LLC is generally disregarded for federal income-tax purposes unless it elects corporate treatment. An election, when appropriate, uses a separate form such as Form 8832—not a label on Form SS-4.
The IRS’s single-member LLC guidance explains the default treatment and the distinct rules for employment and certain excise taxes.
Do not confuse two different entities
A U.S.-organized disregarded entity wholly owned by a foreign person.
A foreign eligible entity; the SS-4 instructions give it different wording when requesting an EIN for a Form 8832 election.
A Wyoming or Delaware LLC does not become a foreign entity merely because its owner lives abroad. Conversely, a business organized under foreign-country law is not a U.S. entity merely because it wants a U.S. EIN.
Why Form 5472 appears on an EIN application
The IRS treats a foreign-owned U.S. disregarded entity as separate from its owner and as a corporation only for the limited reporting rules under section 6038A. The current Instructions for Form 5472 say that a required foreign-owned U.S. DE filing uses a pro forma Form 1120 with Form 5472 attached.
What the other common line 9a labels mean
- “Disregarded entity”: used under the SS-4 instructions when the EIN is needed for employment or excise taxes, or for a non-federal purpose such as a state requirement.
- Corporation + return form: used when the single-member LLC will file the applicable election and corporate return described in the instructions.
- Partnership: generally applies to a domestic LLC with two or more members that accepts the default partnership classification.
- “Foreign disregarded entity”: a different label for a foreign eligible entity requesting an EIN for a Form 8832 classification election.
A focused pre-submission check
- Confirm the jurisdiction where the entity was organized.
- Confirm the number and identity of owners.
- Check whether any Form 8832 or other classification election is effective or planned.
- Identify the actual federal or non-federal reason the entity needs its EIN.
- Use only the line 9a wording that matches those facts.