Corp. to Corp.

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  • DTS
    Senior Member
    • Jun 2005
    • 1852

    #1

    Corp. to Corp.

    What does the term "corp to corp" mean in terms when being paid?

    My client needs to be an S-corp or LLC to work for this corporation that wants to hire him as a consultant.

    Thank you,

    Dennis
  • Davc
    Senior Member
    • Dec 2006
    • 1088

    #2
    It means the paying corp wants to avoid payroll taxes, employee benefits, and workmen's comp.

    Comment

    • DTS
      Senior Member
      • Jun 2005
      • 1852

      #3
      Ok

      Davc,

      Thanks! That was the topic of our discussion, so it makes sense now.

      Dennis

      Comment

      • dsi
        Senior Member
        • Dec 2005
        • 705

        #4
        This sounds like they are going into the computer consulting biz? I have a client that is doing the same thing. The company is requiring my client become either an LLC or corp. They will not do biz with a sole proprietor.
        Dave, EA

        Comment

        • DTS
          Senior Member
          • Jun 2005
          • 1852

          #5
          David

          That is exactly what it is. They told my client that they would not do business with a sole prop, plain and simple. You want the job, become an entity.

          Dennis

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