topic Do i have to pay self exployment tax on salary i recieve from my disregarded llc if i have a have a overall loss in income in Get your taxes done using TurboTax

Do i have to pay self exployment tax on salary i recieve from my disregarded llc if i have a have a overall loss in income

abysass — Fri, 31 May 2019 21:36:42 GMT

you cannot be an employee of a dis-regarded entity -- you...

pk — Fri, 31 May 2019 21:36:55 GMT

you cannot be an employee of a dis-regarded entity -- you are sole proprietor and report entity incomes and expenses on schedule-C

The only way to avoid this is to elect to be treated as a...

SweetieJean — Fri, 31 May 2019 21:37:01 GMT

The only way to avoid this is to elect to be treated as a corporation. This election is made by filing Form 8832. Did you do so?

If your LLC is really a "disregarded" entity then you sho...

TomYoung — Fri, 31 May 2019 21:37:10 GMT

If your LLC is really a "disregarded" entity then you should not be taking a "salary" or "wages" from the LLC. The LLC is disregarded and all its income or loss, with any "wage" or "salary" not counted as an expense, is reported by you on your own Schedule C. If the "bottom line" of the Schedule C is positive (income) then that's your income and that's the starting point for calculating Self Employment tax.

Tom Young

What if he has two schedule C's. Is SET calculated on eac...

Hal_Al — Fri, 31 May 2019 21:37:12 GMT

What if he has two schedule C's. Is SET calculated on each one separately or on the net income from both?

Self employment tax is on all sch C (per taxpayer) so the...

VolvoGirl — Fri, 31 May 2019 21:37:14 GMT

Self employment tax is on all sch C (per taxpayer) so they would be combined and take into account any W2 SS box 4.