Question

Single member llc paying Taxes quarterly by 941

Forum|Forum|5 years ago
July 6, 2020
1 reply
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I am a single member LLC. I paid social security/medicare and income taxes quarterly all through 2019 by filing form 941 using my EIN. The only thing I can find that came even close was to enter them as "estimated taxes". They were not "estimated taxes" in the true sense. I’m using TurboTax Home & Business. There is nowhere that I can enter these taxes already paid and after going through the whole process with TurboTax it now indicates that I owe them. How do I solve this problem?

TurboTax Home & Biz Windows

Critter-3

OK ... so your single member LLC is NOT incorporated and you are reporting the income on the Sch C attached to a personal return correct ???

If so you CANNOT pay yourself wages on a W-2 or file payroll tax reports like the 940 & 941. Wages are ONLY paid to employees NOT to the owner ... it is against the law.

Please seek local professional assistance to fix the mess you find yourself in.

J

JlmillierAuthor

Okay, we obviously have an issue here and will seek professional help. In the future how does a single member LLC pay SS/MC and income taxes throughout the year?

Rick19744

Employee

You simply withdraw $$ from the business account, however, the $$ withdrawn are NOT a deduction on the Schedule C.

Under this method, you will pay quarterly estimated tax payments using the 1040-ES and whatever form your state requires assuming your particular state has an individual income tax.

*A reminder that posts in a forum such as this do not constitute tax advice.Also keep in mind the date of replies, as tax law changes.