C IL | missyferguson - 7/2/2022 20:31
Your underage age child (under 18) can work for you in your business and is exempt from social security taxes. Their federal income tax would not kick in until they make over the standard deduction which is $12,950. In Michigan the state deduction for a dependent of another is only $1500. So depending on the amount paid to the minor child they most likely would have state income tax and may have federal income tax (I'm sure at a lower rate than you.). Be sure have a genuine work relationship documenting hours and work.
This is the correct answer. You need to review your LLC as to who is the owner to see if the LLC qualifies. |
How to pay my underage son for farm labor so he doesn’t have to pay taxes
