Hello,
I have a SMLLC with a C Corp status, I am mostly on the road providing services and my spouse is about to take on a role to manage all customer accounts (Billing, expenses etc).
**The SMLLC changed from a regarded entity to a C-corp (last week), so its new!
**would have 2 employees (Self & Spouse)
Should I start running payroll for both my spouse and I? if not how should I proceed with this type of situation.
*** Please provide documentation (link etc) with your response, this would be greatly appreciated.
Are you sure you switched from an LLC to a C-corp? That is quite a step and
requires you to submit Articles of Incorporation and create by-laws. It is
more probable that you changed from an LLC to an S-corp. As AbilityBooks
mentioned, you need professional assistance to be certain you are doing
things legally and in the manner that is most cost effective for you.
Are you sure you switched from an LLC to a C-corp? That is quite a step and requires you to submit Articles of Incorporation and create by-laws. It is more probable that you changed from an LLC to an S-corp. As AbilityBooks mentioned, you need professional assistance to be certain you are doing things legally and in the manner that is most cost effective for you.
From a tax perspective I filled the Form 8832 to be taxed as a corporation
"An LLC that is not automatically classified as a corporation can file Form
8832 to elect their business entity classification." -
http://www.irs.gov/businesses/small/article/0,,id=98277,00.html
From a tax perspective I filled the Form 8832 to be taxed as a corporation "An LLC that is not automatically classified as a corporation can file Form 8832 to elect their business entity classification." - http://www.irs.gov/businesses/small/article/0,,id=98277,00.html
Thanks for your response.
Then you are an LLC that, for tax purposes, is being taxed like an S-corp. To
become an actual corporation, you would have had to re-register your business
with your state and create and file Articles of Incorporation and by-laws.
You may want to visit with an accountant or an attorney to be certain you are
doing things correctly. If you aren't, you could have problems in the future.
Please get professional help with this. Yes, you would be employees of the
corp. As for other accounting/tax things, it is not as simple as filing out a
form and "switching" to c corp, there are things that must be done.
Please get professional help with this. Yes, you would be employees of the corp. As for other accounting/tax things, it is not as simple as filing out a form and "switching" to c corp, there are things that must be done.
Thanks for your response.
I filed the Form 8832, received my EIN, State Tax ID, and Unemployment IN,
got intuit Pro + Payroll. At this point I am hoping the idea to run payroll
for my spouse and I would be a wise decision.
kmurray | Community Moderator |
4/5/2012 - 11:02 am
Hi Cliff,
With these specific questions, it may be best to get in touch with one of SBA's local resources near you. SCORE and Small Business Development Centers are located across the country and provide free business counseling. Check out SBA Direct to find your local SBA resource partners by entering your zip code.
Hi Cliff,
With these specific questions, it may be best to get in touch with one of SBA's local resources near you. SCORE and Small Business Development Centers are located across the country and provide free business counseling. Check out SBA Direct to find your local SBA resource partners by entering your zip code.
BizResearcher | Window Shopper | 4/17/2012 - 1:05 pm
requires you to submit Articles of Incorporation and create by-laws. It is
more probable that you changed from an LLC to an S-corp. As AbilityBooks
mentioned, you need professional assistance to be certain you are doing
things legally and in the manner that is most cost effective for you.
Clifford718 | Window Shopper | 4/18/2012 - 8:51 pm
"An LLC that is not automatically classified as a corporation can file Form
8832 to elect their business entity classification." -
http://www.irs.gov/businesses/small/article/0,,id=98277,00.html
Thanks for your response.
BizResearcher | Window Shopper | 4/24/2012 - 12:32 pm
become an actual corporation, you would have had to re-register your business
with your state and create and file Articles of Incorporation and by-laws.
You may want to visit with an accountant or an attorney to be certain you are
doing things correctly. If you aren't, you could have problems in the future.
AbilityBooks | Performer | 4/11/2012 - 9:29 pm
corp. As for other accounting/tax things, it is not as simple as filing out a
form and "switching" to c corp, there are things that must be done.
Clifford718 | Window Shopper | 4/18/2012 - 8:55 pm
I filed the Form 8832, received my EIN, State Tax ID, and Unemployment IN,
got intuit Pro + Payroll. At this point I am hoping the idea to run payroll
for my spouse and I would be a wise decision.
kmurray | Community Moderator | 4/5/2012 - 11:02 am
Clifford718 | Window Shopper | 4/5/2012 - 1:21 pm
Cliff
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