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Who will get the 1099 me or my llc?

Date: Wed, 02/06/2008 - 08:43
Submitted by on Wed, 02/06/2008 - 08:43
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I have a charge off from a credit card that was set up under my llc tax id number. It is now reporting on my personal credit report. Will my business or myself receive the 1099 regarding the charge off amount. Again the tax id is under my llc.


I would think if the debt was incurred by your LLC that the 1099 would go to the LLC. I am not familiar with the laws regarding a Limited Liability Corporation in regards to taxes however, even though I took a course on business law a few years ago. I know if it were a Corporation there would be no report on your personal credit file but the word "limited" means just that. Your personal liability is limited but not completely exempt.


Submitted by Frogpatch on Wed, 02/06/2008 - 08:54

Frogpatch

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Just because an account is listed as charged off it could still be sent to a CA for collections. I think or at least that is what happened to me personally. I finally made an agreement with the CA to settle for less them owed. I was told that now I will receive a 1099 for the balance between the paid settlement and the amount of the debit.


Submitted by mommontoya on Wed, 02/06/2008 - 09:15

mommontoya

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Thanks for the response. i do understand that I will be responsible for the differnece between settlememt and amount of debt owed. I was confused as to whom would receive 1099, me on my ssn or the LLC on its tax id number. Does anyone have information on how I can remove the debt from my personal credit report?


Submitted by on Wed, 02/06/2008 - 13:04

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