You might be asking what actions are necessary to make it happen if you’re running a business and want to include your spouse. There are a few crucial considerations to make whether you want to convert your LLC into a partnership or simply include your spouse as a shareholder in your company.
You won’t need to file for a new Employer Identification Number (EIN) if you have registered for one and are adding your husband to your company. To reflect your new business structure, you will need to change the data linked to your existing EIN.
You must fill out Form SS-4 (Application for Employer Identification Number) with the updated information about your company in order to accomplish this. By submitting Form 8822-B (Change of Address or Responsible Party – Business), you must also inform the IRS of any changes to your company’s organizational structure.
You must submit articles of amendment to the Secretary of State’s office in your state if you are already an LLC and wish to add your husband as a partner. The operating agreement for your LLC will be updated by this document to reflect the addition of your spouse as a partner.
You’ll also need to get your partnership a new EIN in addition to revising your operating agreement. You’ll be prepared to start conducting business as a partnership once you’ve submitted the required documentation to the state and gotten your new EIN.
You must update your LLC’s operating agreement with the new member information if you are already an LLC with your spouse and wish to add them as a member. This does not alter the fact that you are still conducting business as an LLC, though.
Although an LLC with just two members—spouses or anybody else—is frequently called a “husband and wife LLC,” this does not mean that it is a partnership. As a result, it is still taxed as an LLC.
Depending on your business objectives, tax circumstances, and personal preferences, you may or may not choose to register your company under your wife’s name. It’s crucial to understand that simply registering your company in your wife’s name does not make her an automatic partner or employee.
You must adhere to the procedures stated above in order to add your spouse as a partner or member. There are also legal and tax factors to keep in mind even if you just want to give your spouse ownership of your company.
Finally, bringing your partner on board might be a terrific way to share the effort and contribute fresh perspectives. You may make sure that your company is ready for success as a partnership or LLC with both you and your spouse at the head by following the above procedures.