Tax question for LLC
 

For those out there with single member/sole proprietor llc's when you file your taxes do you file return with your EIN or ssn? Or both? With paid drivers withholding taxes, not 1099 crap. I'm forming my own and curious on this.

The IRS usually issues a fein that is different from your ssn, when you have a sole proprietorship. At one time most proprietorships used their ssn. When you form an LLC or other type of entity, you will also be issued a different fein.

You will need to file personal income tax using your ssn. For instance, if you pay yourself a salary you would use your ssn. When you have an LLC you will have created a new entity and will need to file a corporate return using your fein for the LLC.

Leave it to the IRS to complicate what should be simple. I will stick to a regular corporation or S-corp. These people must stay up nights to think of ways to further complicate our tax code.

I am a sole proprietor and I filed for an EIN and yet I file a schedule c and a on my 1040.

About as simple as I could make it. Since the chance of me ever having an employee is zero.

I have not operated as a sole proprietorship for many years. Back then we had to use our social security number. Several years ago, I had an IRS employee tell me that they now want everyone to have a separate fein. Are you using your ssn on the schedule c or your fein?

Ready to have your head spin......


I have a DBA. That has its own EIN. That EIN is on all of my W9 I send out for brokers. Same EIN they use to report any money paid to me as a sole proprietor. Has to do with the $650 cap you can earn without being reported to the IRS.

I file my taxes on my schedule c under my SSN only.

The IRS has those two id's connected. And they prove it.

The IRS likes to make things clear as mud. I own several corporations and the IRS has all of them linked to me. It was their idea to link them. When I file my 2290, they still want me to use a different fein than my social security number. Several years ago they mistakenly issued me a new number as a sole proprietorship. It was interesting to get them to cancel it. Actually, I don't think that they actually canceled the number. I just use the fein for one of the corporations. It makes them happy and saves some headaches for me.