spouse employed by spouse

[JenMO]

Employed spouse is exempt from FUTA. When you put the exemption on the form, do you write "spouse" to explain. If employer spouse is a single member LLC, is the working spouse still exempt? I employer spouse is taxed as an s corp, is worker spouse still exempt? Can FUTA be amended back to 2008?

[ChEAr$]

Employed spouse is exempt from FUTA. When you put the exemption on the form, do you write "spouse" to explain. If employer spouse is a single member LLC, is the working spouse still exempt? I employer spouse is taxed as an s corp, is worker spouse still exempt? Can FUTA be amended back to 2008?

1. If employer is a proprietor, or a single member LLC filing in default status as a
proprietor, then spouse is exempt from FUTA (and probably SUTA as well). My explanation
is "spousal wages" to describe the exemption.

2. If employer is a corporation (S or C; doesn't matter), or and LLC taxed as a corporation,
then spousal wages are not exempt.

[JenMO]

Thanks, I did not catch til this year. Will I be able to amend the 2008 940? I did 08, but another preparer did the other past years. Is there a three year period on these forms, also?

[ChEAr$]

Thanks, I did not catch til this year. Will I be able to amend the 2008 940? I did 08, but another preparer did the other past years. Is there a three year period on these forms, also?

I don't know about any three year rule on 940's, but assume there would be.

But think about it, what will you charge? More than the $56 it might save?