LLC Bank Account
Bank accounts typcially are not a difficult proposal, but when you venture into something like a sole proprietor LLC bank account it can be a little tricky.
- Each bank may have slightly different requirements, but you will need documents that prove your business is an actual entity.
- Any money that you spend, period, whether or not it is from the initial $1,000 or from your sales revenues, will be eligible for a tax deduction according to IRS rules.
- You’ll most definitely need an EIN and have to provide your Social Security number.File a Schedule C and disregard your entity for income tax purposes.
- Report your business as a sole proprietorship.
- You need to keep your business money separate from your personal money in order to retain your limited liability status
Each state has its own rules, so you will need to research what your state requires.
It is not as much of a chore as it might seem, but hopefully it will all be worth it when your LLC bank account is loaded with your profits.
Written by Nagel on March 23rd, 2007 with no comments.
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