Can I enjoy the benefits of incorporation or similar business structure for income earned during 2008 prior to incorporation?
Say I earned $18,000 already as an independent contractor and I then incorporate. Can I factor that into my profit/loss formula for my 2008 taxes?
eg. So if $18,000 was paid and the business had $3000 in expenses so I only have to pay taxes on $15,000. (Simplifying here)
Is such a thing possible? Right now we're just two independent contractors and we're wondering if there's a better way to handle our income in respect to taxes. Thanks in advance.
ps. Our checks have been going out to our names. Should I make any special request to our client such as send it out in the name of the business?
More info: We live in Nevada and haven't made the business official yet. Therefore, no bank accounts in the business name.
Orignal From: Is Incorporation the answer?
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