New Business on L1 or L2/EAD

[koolrahul007]

L1 or L2/EAD : Please advise

Hi,
I am on L1 visa(work full time) and my wife is on L2 and has an EAD.
I am thinking of starting a small home based business as a Sole Proprietorship. Business would be an eBay store of electronic items.
I have a few questions/doubts about legal/tax aspects. Any help would be highly appreciated.

#1 - Can I start the business as "Husband and wife business" where I can invest/use my credit and she could operate/manage the business.
#2 - While doing transactions, is it mandatory to have a business checking account or we can use personal accounts as well?
#3 - Transactions/billings would have to be in the business name "DBA" or it can be in the person's name as well?
#4 - We rent a apartment. Can we have the apartment as the primary business address?
#5 - Income tax would have to be reported monthly/quarterly/yearly?
#6 - Can we file tax return for the business with personal tax return.

Thanks alot
Rahul

 

[great guru]

Hi,
I am on L1 visa(work full time) and my wife is on L2 and has an EAD.
I am thinking of starting a small home based business as a Sole Proprietorship. Business would be an eBay store of electronic items.
I have a few questions/doubts about legal/tax aspects. Any help would be highly appreciated.

#1 - Can I start the business as "Husband and wife business" where I can invest/use my credit and she could operate/manage the business. YES
#2 - While doing transactions, is it mandatory to have a business checking account or we can use personal accounts as well? Better have a separate account for accounting / Tax purpose.#3 - Transactions/billings would have to be in the business name "DBA" or it can be in the person's name as well? Make a Business name , better for your business.#4 - We rent a apartment. Can we have the apartment as the primary business address? YES
#5 - Income tax would have to be reported monthly/quarterly/yearly? Depends on turnover. Net Only in tens yrly, 0000 Monthly
#6 - Can we file tax return for the business with personal tax return. Better pay as a business entity. However A CPA will charge max 200 to 300 to file your returns. Make use of CPA you will get lot of hidden tax benefits in the business
Thanks alot
Rahul