Skip to content
BOL Conferences
Thread Options
#1795812 - 03/18/13 05:42 PM Single Member LLC Acct Title
SunnyFL, CRCM Offline
100 Club
Joined: Sep 2004
Posts: 205
FL
If you have a single member LLC that is using the single member's SSN, how would you title the account and does it need to reflect both his name and the name of the business (example: Paul Smith is the single member and the business is Smith's Landscaping LLC). If you use his name in the title, say on the first line, do you distinguish him as something. Also - Would his relationship to the account be owner? managing member? single member? authorized signer?
Thanks for your help.

Return to Top
Deposits and Payments
#1795817 - 03/18/13 05:52 PM Re: Single Member LLC Acct Title SunnyFL, CRCM
Elwood P. Dowd Offline
10K Club
Elwood P. Dowd
Joined: Aug 2001
Posts: 21,939
Next to Harvey
You clearly understand, if the single member is Robert E. Lee, and the customer is Confederate Plumbing, LLC then you are going to get a "mismatch" notice on CTR filing and perhaps on 1099 reporting if you use Robert's SSN.

The fault is not yours, it's theirs. Personally, I would not go to any great lengths to fix it.

There have been a number of suggestions made, mostly in the BSA forum. Yours, listing the name of the single member in that capacity, is as good as anyone's. However, when I think through he operational issues and the confusion that might cause, I'll just go with the mismatches...
_________________________
In this world you must be oh so smart or oh so pleasant. Well, for years I was smart. I recommend pleasant.

Return to Top
#1795913 - 03/18/13 07:46 PM Re: Single Member LLC Acct Title Elwood P. Dowd
SunnyFL, CRCM Offline
100 Club
Joined: Sep 2004
Posts: 205
FL
You are right - The mismatch is exactly what I am trying to avoid but guess I'll take my chances (titling in the business name) when that happens with the documentation we've gathered. Now as to the "single member's" relationship.... I'm thinking it can't be owner can it, because then it could be reached in a levy or garnishment situation? Should the single member be recognized as that or just be an authorized signer? Oh my.... Any suggestions?

Return to Top
#1795933 - 03/18/13 08:01 PM Re: Single Member LLC Acct Title SunnyFL, CRCM
rlcarey Online
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,227
Galveston, TX
What IRS information reporting on a business deposit account would you do to get a mismatch?
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top
#1796005 - 03/18/13 09:36 PM Re: Single Member LLC Acct Title rlcarey
Elwood P. Dowd Offline
10K Club
Elwood P. Dowd
Joined: Aug 2001
Posts: 21,939
Next to Harvey
Corporations are exempt from 1099INT filing, but LLC's & partnerships are not.
_________________________
In this world you must be oh so smart or oh so pleasant. Well, for years I was smart. I recommend pleasant.

Return to Top

Moderator:  John Burnett