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Formed a corporation and not LLC, to keep entity separate from attaching to myself. Why EIN application is asking for my SSN?
Anonymous6 views3 answers
I am on H4 dependent visa and applied for Green card (under process). Formed a corporation (INC) to keep it separate and not associated with me. I have no intention of working for this INC or withdrawing any amount (salary, expenses or dividends) from this entity to comply with the USCIS on H4 visa. But when applying for EIN, it is asking to provide SSN or ITIN. If I provide that ,wont this entity be associated with me from IRS perspective? That was the only reason of not forming an LLC cause did not want to file tax returns of an entity with my personal returns (as schedule C) as that could unnecessary raise eyebrows of USCIS when filing for Adjustment of status.
My Q.: Will my corporation be treated as separate entity for both USCIS and IRS even when EIN has my ITIN linked?
I just answered an almost identical question, so you may want to search for it, but at least for tax purposes, the corporation and individual should be treated as separate. The IRS asks for the incorporator's TIN in order to affiliate a person with the corporation -- not "merge" the two as one-and-the-same.
As far as immigration is concerned as long as you have not worked for the incorporated company you will not have an issue. The obvious question is who is working for this company if it is making income and filing taxes. If there are no other employees you as the sole share holder can be presumed to be the one doing all the work. The fact that you used a tax I'd number to get a EIN in itself should not be of much concern with USCIS.
First let me say that an H-4 cannot be employed. An H-4 can make a passive investment only. An H-4 cannot be running a business. Please keep that in mind. There is some talk about H-4s being able to obtain employment authorization, similar to L-2s but for now you must be very mindful of the fact that any investment you make as an H-4 must be passive- no working for the business, no earnings, etc.
USCIS uses social media and websites in researching petitions, applications, petitioners and applicants.
You say your green card is under process. If you can wait until you have an EAD, issued as part of the I-485 application, I think it would be advisable. I also suggest that you may want to talk over your situation with the lawyer handling your permanent residence application.
