T/p has set up a company with a dba. He is also president of a separate corporation. He wants the corp to pay his employees that work for the new company and issue him a paycheck also. Is this ok or does he have to get a separate EIN for the new company to pay his employees. also, would the corp pay him for operating the new company? Thanks
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Pookie -
I'm not following the sequence here
How is the new company organzied (corp, LLC, etc.) or is the d/b/a the alter ego of the corporation that he is president of? If the latter is true than he can issue from the corp account because it's still legally the corporation carrying on business, just under a ficticious name. Theoretically the corp would not "pay him for operating the new company", but if he is the sole shareholder he can choose to pay himself for the extra duties if he cares to.Originally posted by Bettie Cheek View Post -
corp payroll
t/p is not the sole shareholder. there are 3 others. How would he pay himself to run the new company?PookieComment
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Not sure I exactly understand you but if he has formed a new corporation then I think it may be wise to apply for a new EIN and pay employees out of each corp separately.Originally posted by Bettie Cheek View PostComment
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