Category Archives: Corporations

Why A Nevada Corporation

Today TaxMama hears from Meher in California, who is perplexed. “Why would an individual or an entity living and doing Business in California file a Nevada Corporation? There are so many companies who advertise this concept, claiming tax savings and various benefits for the Corporation who files a Nevada Corporation.”

Unused Corporation

Today TaxMama hears from Luz in California with this problem. “I opened a corporation in 2001 but I never used it. I never filed tax returns. I didn’t even know how it works! Now I just learned that the state charges a fee for year that it is open. Is there a way or a […]

Who Gets 1099s

Today TaxMama hears from Linda in Pennsylvania, who tells us “I’m in charge of the mailing of 1099 MISCs for 2009. Who gets a 1099? Who doesn’t get one? Are there corporations that get 1099s? I think attorneys and accountants receive them.”

Upgraded Automobile

Today TaxMama hears from Tiffany in Virginia, who’s trying… “ I am starting an LLC which is an online store selling automotive upgrades. I will be buying a car ($10,000) and upgrading it with mostly my own inventory ($20,000). My website address will be printed on the car and it will be taken to car […]

Roth Reinvesting Error

Today TaxMama hears from Sylvia in Texas with a problem. “In 1998 my husband converted his IRA holdings to a Roth account. The brokerage company continues to place dividends in a MM account saying they have no record of his wanting the dividends reinvested and it’s too late now. Unfortunately, our records were on thermal […]

Clients in Other States

Today TaxMama hears from Fred in Illinois who wants to know. “I’m thinking about opening a mortgage adjusting business. My clients might be from another state. What do I do about a local business license?”

Forced Sale of Stock

Today TaxMama hears from Tim in Seattle, with an interesting question. “Suppose a person owns stock in Company A that subsequently goes private. They are forced to sell their stock in Company A. Is there a way to defer taxes on the involuntary conversion of company A’s stock by reinvesting the proceeds in other stocks […]