cl2019 Posted April 24, 2020 Report Share Posted April 24, 2020 According to IRS, name control for sole proprietor is 4 letters of his last name and for corporation/LLC is 4 letters of company name. If taxpayer is a single member llc, does that belong to sole proprietor or corporation/llc category. should I use first 4 letters of company name or owner's name? Thanks.Β Quote Link to comment Share on other sites More sharing options...
jklcpa Posted April 24, 2020 Report Share Posted April 24, 2020 If the LLC is the person's name, it would be the first 4 letters of the perons's first name.Β I'm a C corp that is my full name followed by letters of professional designation, and my name control is "JUDY" Quote Link to comment Share on other sites More sharing options...
cl2019 Posted April 24, 2020 Author Report Share Posted April 24, 2020 Thank you so much! Quote Link to comment Share on other sites More sharing options...
Abby Normal Posted April 24, 2020 Report Share Posted April 24, 2020 https://www.irs.gov/businesses/small-businesses-self-employed/single-member-limited-liability-companies A single-member LLC that is classified as a disregarded entity for income tax purposes is treated as a separate entity for purposes of employment tax and certain excise taxes. For wages paid after January 1, 2009, the single-member LLC is required to use its name and employer identification number (EIN) for reporting and payment of employment taxes. Quote Link to comment Share on other sites More sharing options...
cl2019 Posted April 24, 2020 Author Report Share Posted April 24, 2020 1 hour ago, Abby Normal said: https://www.irs.gov/businesses/small-businesses-self-employed/single-member-limited-liability-companies A single-member LLC that is classified as a disregarded entity for income tax purposes is treated as a separate entity for purposes of employment tax and certain excise taxes. For wages paid after January 1, 2009, the single-member LLC is required to use its name and employer identification number (EIN) for reporting and payment of employment taxes. Thank you for the info.! I will use last four letters of company name as name control then. will see if efile goes through. Thank you! 1 Quote Link to comment Share on other sites More sharing options...
Max W Posted April 24, 2020 Report Share Posted April 24, 2020 I is not always so simple. There are some special rules for name controls: The ampersand (&) and hyphen (-) are the only special characters allowed in the name control. The name control can have fewer, but no more than four characters. Spaces or blanks are not part of a name control. For example, the name control for Joe Doe Trucking is JOED. The word βTheβ at the beginning of your business name is not used in your name control. Blanks may be present only at the end of the name control. Do not include "dba" as part of the name control. Other entities and Foreign names have other rules.Β See Pub 4164, starting aroundΒ page 175. 2 Quote Link to comment Share on other sites More sharing options...
Lion EA Posted April 24, 2020 Report Share Posted April 24, 2020 If it's an individual John Brown, the control is Brow. But, if it's a company John Brown Inc, the control is JOHN So many rules! Quote Link to comment Share on other sites More sharing options...
jklcpa Posted April 25, 2020 Report Share Posted April 25, 2020 So if it's an SMLLC that reports on Sch C using the owner's name, and it has employees that requires an EIN and wants to e-file the 941s and 940s, and the name is John Brown LLC... is the name control JOHN or is it BROW? Are we all going a little nuts?Β Quote Link to comment Share on other sites More sharing options...
Lion EA Posted April 25, 2020 Report Share Posted April 25, 2020 11 hours ago, jklcpa said: If the LLC is the person's name, it would be the first 4 letters of the perons's first name.Β I'm a C corp that is my full name followed by letters of professional designation, and my name control is "JUDY" Judy says, "If the LLC is the person's name, it would be the first 4 letters of the person's first name." So, Judy says it's JOHN. Quote Link to comment Share on other sites More sharing options...
Abby Normal Posted April 25, 2020 Report Share Posted April 25, 2020 18 hours ago, Max W said: The word βTheβ at the beginning of your business name is not used in your name control. I have a policy of never entering 'the' at the beginning of any of my clients' names, both on tax filings and my internal file folders, because I've noticed that is what the IRS does. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.