Winnipesaukee Forum - View Single Post - Plymouth LLC-5% tax-public hearing

fatlazyless · 01-07-2010, 09:59 AM

[QUOTE=jmen24;11583To many (not all, but many) DBA's don't pay taxes correctly, if at all.[/QUOTE]

Hey.....correct me on this......as I seem to recall....a dba files federal taxes with form 1040 and pays the 7.65% share of the fica/medicare, while an LLC has to pay in both halfs of the 7.65% or 15.3% on the approximately first $100,000./year of wages. An LLC operates basically like a type c corp.

So, what is the big problem for a self-employed person to do business as a dba? A dba cannot purchase workers comp ins for himself and should definately have good liability insurance coverage appropriate to a painter.

01-07-2010, 09:59 AM	#14
fatlazyless Senior Member Join Date: Apr 2004 Posts: 8,753 Blog Entries: 1 Thanks: 300 Thanked 1,010 Times in 736 Posts	[QUOTE=jmen24;11583To many (not all, but many) DBA's don't pay taxes correctly, if at all.[/QUOTE] Hey.....correct me on this......as I seem to recall....a dba files federal taxes with form 1040 and pays the 7.65% share of the fica/medicare, while an LLC has to pay in both halfs of the 7.65% or 15.3% on the approximately first $100,000./year of wages. An LLC operates basically like a type c corp. So, what is the big problem for a self-employed person to do business as a dba? A dba cannot purchase workers comp ins for himself and should definately have good liability insurance coverage appropriate to a painter. __________________ ... down and out, liv'n that Walmart side of the lake!