 Setting Up Business - Need Help
I am in California and am just starting to create my business. I am going to do the following:
1) Apply for business license
2) File DBA
3) File for a trademark
3) Apply for sellers permit
I am planning on filing as a sole proprietor as I will have no employees at this time. My concern however is with the taxation side of it.
I will not be "paying" myself and plan on reinvesting any income from the company back into the company. If I am not paying myself, do I need to pay social security taxes on the business income? How does that work?
I do understand that I have to pay state sales tax on my purchases, but just don't want to find out 6 months from now that I owe some other taxes.
Any help is appreciated.
Daniel |