To any kind soul out there who can help me make a quick decision.
I have a single member LLC and was not required to file taxes this year because I had no income in 2021. Fast forward a year later, I managed to get one paying client and will soon have another paying client.
The new client uses Quickbooks and prefers to pay me through direct deposit, so once we have our discovery call and discuss final details, I will be asked to fill out a W9 form through my Intuit account (according to a Quickbooks tutorial I watched lol).
Since I did not file taxes last year, I will have to make the decision between filing as a sole proprietor (using SSN) or a business (EIN number). I have both but my business does have a registered EIN.
I always hear that single member LLCs are technically taxed as sole proprietors, but I do have my own separate business bank account and do not co-mingle my personal and business accounts. So signing up to be taxed as a business would be the correct step right?
Thank you for your help, I've come a long way from being unemployed for a couple years and just want to make sure I set things up correctly so both me and my client can focus on business matters.
