Ill start by saying I know nothing about business. My question has to do with my boyfriends company. I have been with him for two years now. He gave me a credit card to use with the name of a company on it. I looked up the company online. I could not find anything about it except that he is the sole owner, it is a private company, and it is in the industry "business services NEC". He has never brought this up with me. What would be the purpose of forming such a company? Is he possibly receiving some sort of benefit from it? I would appreciate your answers.
Hi, from my experience, I believe it wouldn't of been his choice. Industrial temporary or very specific services must be classified as such: very limited to what they sell or serve... Hence the not elsewhere classified.
I'm assuming his business is in fact a sort of random one... Sole proprietorship gets its benefits from its llc and lacking management coordination for expenses which is why he probably have you his business credit card to use. Is his money, as long as he claims it on as revenue, biz expenses and personal expenses seperately he should be fine. The IRS regulates these very carefully and taxable revenue is counted on an annual basis after expenses (which is why they don't accept personal expenses on business) not like personal income that gets reported and taxed on the gross margin.