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#5
09-23-2003, 04:22 AM
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 Re: Just started a C-Corp and provided the company with startup capital "James Banta" <jamesbanta1975[at]yahoo.com> wrote: - quote - > I started a C-Corp a few months back and i was wondering is
Investment in a company is not taxable. Earnngs on that> the initial investment i put into the corporation taxable? I > already paid taxes on it myself personally, The corporation > doesnt need to pay taxes on it nor do i again do i ? investment will have tax consequences. -- Glen Hughes, CPA www.glenhughescpa.com glen[at]glenhughescpa.com << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#4
09-23-2003, 04:21 AM
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| Re: Just started a C-Corp and provided the company with startup capital "James Banta" <jamesbanta1975[at]yahoo.com> wrote: - quote - > I started a C-Corp a few months back and i was wondering is
Nobody pays tax on that.> the initial investment i put into the corporation taxable? I > already paid taxes on it myself personally, The corporation > doesnt need to pay taxes on it nor do i again do i ? Wayne Brasch, CPA, M. S. Taxation << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#3
09-23-2003, 04:02 AM
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| Re: Just started a C-Corp and provided the company with startup capital "James Banta" <jamesbanta1975[at]yahoo.com> wrote: - quote - > I started a C-Corp a few months back and i was wondering is
No. To you its a capital investment....no different than if> the initial investment i put into the corporation taxable? I > already paid taxes on it myself personally, The corporation > doesnt need to pay taxes on it nor do i again do i ? you bough shares of IBM stock. To the corporation, its capital (ie, equity). Mike Lewis, CPA << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#2
09-23-2003, 04:02 AM
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| Re: Just started a C-Corp and provided the company with startup capital jamesbanta1975[at]yahoo.com (James Banta) wrote: - quote - > I started a C-Corp a few months back and i was wondering is
No, there's no income tax to the corporation or yourself.> the initial investment i put into the corporation taxable? I > already paid taxes on it myself personally, The corporation > doesnt need to pay taxes on it nor do i again do i ? It's paid-in capital, not corporate income. Depending on your state and how the corporation is capitalized, there may be state franchise tax to deal with. When the corporation earns income, or you take money out of the corporation, or you sell your shares, then you need to be concerned with income tax. If you are not sure how to handle this, it would be wise to engage an accountant who knows. -- Chris Green << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#1
09-23-2003, 03:24 AM
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| Re: Just started a C-Corp and provided the company with startup capital "James Banta" <jamesbanta1975[at]yahoo.com> wrote: - quote - > I started a C-Corp a few months back and i was wondering is
No. And may I be frank here? A basic question like that> the initial investment i put into the corporation taxable? I > already paid taxes on it myself personally, The corporation > doesnt need to pay taxes on it nor do i again do i ? suggests that you need help with the books. If you plan to do this yourself, you may be biting off far more than you can chew. See a pro. Don Rosenberg, EA << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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09-23-2003, 03:05 AM
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| Re: Just started a C-Corp and provided the company with startup capital "James Banta" <jamesbanta1975[at]yahoo.com> wrote - quote - > I started a C-Corp a few months back and i was wondering is
No. It's either a purchase of the company stock, or a> the initial investment i put into the corporation taxable? shareholder loan to the company, or some combination of both. Your local CPA or EA can help you determine how much should be in either category. -- Paul A. Thomas, CPA taxman[at]negia.net << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#-1
09-18-2003, 05:23 AM
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| Just started a C-Corp and provided the company with startup capital I started a C-Corp a few months back and i was wondering is the initial investment i put into the corporation taxable? I already paid taxes on it myself personally, The corporation doesnt need to pay taxes on it nor do i again do i ? << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
| Tags |
| capital, ccorp, company, provided, started, startup |
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