Question on dividents to JoeF

puzon23

Registered Users (C)
I'm currently applying for my H1B visa and the paper work is already in the vermont center for the premium processing so I'm assuming I should get my answer soon (maybe 15 days or less from now). I'm trying to explore my options when I will be here on H1B and I found out that I can start my own company but I cannot work for it in any shape or form. That's fine. I will have my business partner whom I will start the business with and he will do all the work. I will just be the coowner. Of course, all the businesses are there to make money (unless they are charity, but this will not be that), so I would like to be the one to get a chunk of that pie, since I will be one of the owners. How can I get paid? When we (my partner and I) make a contract together, can we say that whatever company makes we split 50-50? so for example after all the costs are paid we make $10000. He gets 5000 and I get 5000. Is it legal for me? How do I report it on my tax return? Again, is this a legal kind of income for an H1B holder?

The second issue I have which is pretty much unrelated to the first one is this. I read that I can do casual selling on eBay for example on my H1B as long as it does not assume a form of a business. What is meant by casual? two, three, five items a month, qurter, year? What if I sell cars and make $1000 on each. That would be like $2000 a month of additional income, is that casual? Please let me know. Thank you so much for taking your time to read all of this.

Puzon23
 
Thank you for the answers, they are very helpful. It's too bad about the cars though. I guess you could always tell people that you simply like changing cars a lot, but that would seem a little weird especially if I made profit on each sale. Anyway, thanks for the answer on the dividends now I can think on starting my own company and get dividends if we make profits. Quick question, would be better for my partner to start the company or for me, or does it matter?
 
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