This content has been marked as final. Show 4 replies
It is the responsibility of everyone to pay their fair share of taxes from their lncome,. So of course he should pay himself, and of course he should account for it properly in a business-like manner.
You need to speak to an accountant and attorney in order to set up your business structure, accounting and payroll systems properly.
If you derive income from the business and fail to declare it, eventually you'll need to talk to another kind of attorney.
Thanks to everyone.
That what I thought I just want to see how everyone ideas is. He did pay his fareshare as he paid his employees and included business taxes as well.
1. a C Corporation or S Corp
2. AND profitable
3. AND draws/dividends/distributions are being taken
then all but definitely.
If no to #2 or #3, then maybe not.
If no to #1 definitely no W-2 for sole proprietors, partners in a partnership or any LLC not taxed as corp or S corp.
amspcs is correct though that taxes need to be paid one way or another. You should get professional assistance.
I run a payroll firm we do payroll for up an coming small business we have the lowest rates in town we can process your payroll for 100 dollars a month www.maximumgrp.com