3 posts shown.
Timothy Morgan38 said:Honestly, I don't think there will be any penalties for not recording expenses... unless you actually had revenue. If you had income and didn't report it, then yeah, you might have a problem when an auditor shows up...
Closing a business is expensive, and selling one is a nightmare... especially if there was active business before, because people get skeptical about how "clean" the books really are...
Personally, if I had a dormant company sitting there, I'd probably just hand it over to someone for next to nothing just to get the weight off my shoulders...
Thanks so much for the answer, VTi! I figured that too, but I wanted to double-check with the experts. Oh well, I'll just offload it to someone for a tiny amount and move on with my life..
Thanks so much, Kimberly Harris6.
I’m just paying my own taxes as a board member, so technically the company doesn't have any employees.
Honestly, I haven't filed anything in a year and a half—I basically disappeared from the books for a while. If a company isn't officially "dormant," maybe I should just shut it down or sell it; right now, I'm just bleeding money on fees for a business that isn't even running. I'm starting to panic a little—does anyone know what kind of penalties I'll be facing since I haven't filed anything in so long?
I really need some help here...
About a year and a half ago, I took over my late father's business. It had been dormant for a while before I stepped in. Since then, the only thing I've actually paid for is the business internet. There’s zero revenue coming in—nothing is hitting the business bank account.
Since I'm currently unemployed, I just use the business to cover my own health insurance and social security.
Aside from those specific bills, nothing else ever shows up at my house. I'm honestly worried I might have missed registering with the IRS since I haven't actually started any operations yet.
Does anyone know if I'm legally required to send paperwork anywhere? I am totally lost. Every time I try to talk to an accountant, they just want $75 a month plus tax for... well, I don't even know what. I keep telling them the business isn't actually doing anything.
According to the rules, isn't a company considered inactive until you issue your first invoice? Does having one small expense mean I'm technically "active" now? What do I need to file, and how do I keep the business in this "dormant" status?
Thanks so much to anyone who can help me out. Honestly, I’d pay for some solid advice just to avoid dealing with the bureaucracy at the local government office.