Unanswered Tax Questions

Tax Forms

S corp didnt issue payroll

Hello, So this is my first year (2023) as an S corp and I failed to issue any payroll. I just paid myself through distributions. I was mistakenly under the impression that I could 1099 myself at years end and that would be my "reasonable compensation". Seeing as its now Jan 2024 is it too late for payroll, should I 1099 myself? Thanks all.

Small Business

SSN to LLC liability

if i were to open a business under someone else’s SSN and then later on switch it to an LLC under my name who would be responsible for taxes at the end of the year

Tax Forms

How do indicate location on 1099-NEC

I need to file a 1099-NEC for a contractor that we have. Our company was located in Florida where the contractor lives and works. At the end of September, we moved to Georgia. The contractor still lives in and works in Florida. How do I file the 1099-NEC so it does not make it look like the contractor earned income in Georgia, where we are now located?

Small Business

Do I need a Connecticut state Tax id number if I already have a Federal ein number?

Tax Forms

1099 to Owners For both Vacation Rentals and Long Term rentals

I am a property manager that deals with both vacation rentals and long term rentals. I am trying to find out the proper way to file the 1099-Misc form to the owners. Do I file the gross amount of money collected for the property and file that under "Rent" on the 1099 or do I put the amount that i actually pay the owner out (Minus property management fees, Airbnb fees, maintenance ....etc) . Thank you

Deductions and Write-Offs

Aspiring Content Creator Wants to Write off Laptop Purchase

Hi! Thank you for your time. I’m a full time (40hrs a week) W2 employee in NJ. As a side hustle, I want to start creating content for social media. My laptop, which I am allowed to use by my employer when I WFH during my W2 job, is very old and I’m thinking about upgrading. My employer will not pay for it, will not reimburse me. I use my laptop when I WFH for about 16hrs a week. If I start my side hustle, can I write off my laptop, would it have to partially be written off? Since I use it when I WFH it won’t be used 100% for my side hustle but it will be used to edit pictures and videos for said side hustle. Can I still write it off even if I don’t make money on my side hustle yet? How would that work?

Small Business

Dissolving Delaware LLC with Vehicle Asset & Seeking CPA for Retail and Real Estate Ventures

Hello. I am considering dissolving a Delaware-registered LLC, currently while residing in Texas. This LLC owns a vehicle valued at approximately $135,000, which was purchased outright with cash contributed to the company's capital. The vehicle has been used for personal purposes, and since the company hasn't initiated any commercial activities, no tax deductions have been claimed for this asset. Additionally, I'm looking for a CPA who can manage the financial aspects of my existing retail sales company, specializing in automotive wheels, and a future real estate investment business. I need a professional with expertise in both retail operations and real estate investments. For the dissolution of the LLC, I would appreciate insights on: Tax implications of dissolving a Delaware LLC in Texas, especially when it owns a high-value asset like a vehicle bought with contributed capital. Required steps for transferring the vehicle's ownership from the LLC to an individual. Any potential sales tax or other tax liabilities, beyond the costs related to the dissolution and asset transfer. I welcome advice on the LLC dissolution and interest from CPAs with relevant experience in the retail and real estate sectors. Thank you in advance.

Home Ownership

What are the tax implications of being a Private Mortgage lender for my daughter and son in law?

My daughter and my son-in-law are embarking on a first-time home purchase. They approached me about my willingness and ability to be a private mortgage lender for part of their mortgage. I am 70 years old this year, continue to work part-time as well as have been receiving Social Security as of last year. I have retirement money in Roth accounts and a SEP IRA accounts. Preliminary Questions: 1. Can I withdraw unlimited money from my Roth? Sep IRA? Is there a maximum amount that I can withdraw? 2. What are the tax implications of withdrawing any amount? 3. Would the money that is paid back to me be considered income? 4. Can I reinvest this money into my retirement accounts?

Tax Forms

When do I need to send a 1099?

I work for a partnership LLC. What form, if any, do I need send to the other LLCs that I contracted and paid more than $600 to in 2023?

Miscellaneous

Old $25 series e bond from 1957

Just located an Old $25 series e bond from 1957, that my mom had from my grandfather. If I cash the bond will there be a tax penalty accessed from the irs?