Husband and wife owning rental, applying for EIN

ivankaczech · ‎January 30, 2025

I and my husband own 5 rental properties. We need to issue 1099-NEC to our contractor. We do not want to give our SSN so we want to apply for EIN. What type of legal structure do we need to elect? Sole proprietorship or partnership?

PatriciaV · ‎January 30, 2025

It depends. If one of you choses to be the entity who issues Form 1099, choose Sole Proprietorship. However, if you jointly own the rental properties and are also interested in liability protection, you may wish to form an LLC. Your best option is to consult with a legal or tax professional near you who can advise you on the best option for your business situation.

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PatriciaV · ‎January 30, 2025

It depends. If one of you choses to be the entity who issues Form 1099, choose Sole Proprietorship. However, if you jointly own the rental properties and are also interested in liability protection, you may wish to form an LLC. Your best option is to consult with a legal or tax professional near you who can advise you on the best option for your business situation.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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Husband and wife owning rental, applying for EIN