@pk wrote:
@RyanCScott , having gone through most of this thread, I would just like to point out that
(a) a single member LLC is by default treated as a dis-regarded entity i.e. it has no existence separate from the owner -- therefore you use your own SSN and schedule-C for filing a return. However a single member LLC can choose to be treated as a C-Corp or S-corp -- but you have take the extra step to request that treatment.
(b) EIN for an LLC is a different matter -- it has to do with whether you have employees --- it is Employer Identification Number --- it is used for depositing the employee withholdings etc., even in the case of a dis-regarded entity. It is not directly connected to whether you are a disregarded entity or an entity.
(c) I totally support the thought process that when you start your business and/or at major changes , you should consider discussing / accounting methods / your options/ plans etc. with a tax professional or a tax attorney and structure your book-keeping and entity characteristics correct.
Hope this helps
pk
I understand everything you're saying. Comments in threads like this can give advice based on personal experience, but they should be geared towards directing people to contact tax professionals on their own. Any other discussion just leads to more confusion, which is all that I saw online before I contacted someone. I got a second (and third) opinion, and I'm going by that advice.
The main point that I received though is that the IRS has all of your information on file. Your SMLLC info isn't separate from your name and SSN, they're tied together and all listed on your taxes. If someone is comfortable with giving businesses their SSN though, they can do that. The fact that this thread keeps going makes me think that people see this as a larger issue than it is. I can post here if I have any issues in the future just as an update, but everything's good. The bottom line is I want to protect my SSN, and I'm comfortable with the advice I was given.
