Hairdresser booth rental

[ruthc]

I took over doing a return for a hairdresser that rents a booth at another hairdresser's salon. Her last return listed the business name as the owner of the person she is renting from. I don't think this is correct. I have always listed the name of the person who rents the booth in the business name. Am I doing this incorrectly? I told her that if the way it has been done continues, and if she also rents a booth from another salon then she certainly wouldn't list both salons as the business name. And what address of the business would be listed? Thanks

[Nashville]

Just fills a Pigeon Hole

I think the name itself is a non-factor. What really is important is the Federal ID# (or SS#).

Fact of the matter is that the hairdresser may not really have a name of her own. If Marla Thomas rents a booth from "The Mane Attraction" then all her customers only know her as "The Mane Attraction" and she is not known by any other name.

I can tell you this much, if Marla had a payroll, her name would simply be Marla Thomas with a social security # as an identifying number. This would be true unless Marla opted to be a corporation or LLC filing as a C corp or S corp. Even then, I don't think she would have a different name from the store as a D/B/A

[Burke]

She should be listing her own name (and EIN/SSN) as the business name, unless she is an LLC, etc with another name. It should not be the name of the place she rents from.

[ruthc]

Thank you!

Thanks for your input. I will continue to do them as I have by just listing the person's name that is renting the booth (not the owner of the salon).

[Roland Slugg]

Does it really matter? The business name, if there is one, goes on line C (Form 1040), which even says: "Business name. If no separate business name, leave blank."

[David1980]

I once saw a return for a fellow that worked for a half dozen or so companies and got 1099-MISCs for them. He had a half dozen or so Schedule C's. Each Schedule C listed the name, EIN, and address from the 1099-MISC. That made me giggle a bit.

[WhiteOleander]

I once saw a return for a fellow that worked for a half dozen or so companies and got 1099-MISCs for them. He had a half dozen or so Schedule C's. Each Schedule C listed the name, EIN, and address from the 1099-MISC. That made me giggle a bit.

We had a new preparer that listed the EIN and name etc of the company that issued the 1099M on the Sch C of our client. The problem was, the company that owned the EIN # had back taxes owed. They were trust fund taxes for 941s. The IRS grab our clients refund to apply to the EIN that owed the 941 taxes. It took over 2 years to get that cleared up.

[nwtaxlady]

Issue a 1099-misc For rents paid?

Now should their be a 1099-misc issued to the hair salon owner for rents paid in 2015?

[spanel]

Yes.

Chris