Hi,
Question 1:
I have an LLC owned 100% by myself. My son worked for me this year. The LLC paid him less than $12,000.
Should I issue him a 1099 or a W-2?
Question 1 is my most important question.
Question 2:
(Assuming the answer is W-2 from above, I have this question):
I am under the impression I issue him a W-2 because that is what you do with employees. As well, we'd rather not file taxes for him, which, as far as I understand it would, would be required if he received even $1 of 1099 income. But, for <$12000 of W2 income, he is not required to file.
He is the ONLY employee. On the W-2 form, it requires I put a State ID (15). That state ID is in reference to the withholding account at the state of Utah (where this is happening). But, since I've never paid employee withholdings and likely never will, I don't have an account. To get an account ID, I need to apply for one through the state tax commission website. It is free and takes a couple of weeks to get a number.
Do I,
a) Leave box 15 blank?
b) Apply for the account and issue a W2 without the # on there?
c) Wait for the account ID is issued, and then issue the W2 and file the W3?
Thank you so much!
