Report to parent company if supplier is a disregarded entity?

September 23, 2019


Q.¬†We have a supplier that has elected be disregarded as an entity separate from its owner for federal tax purposes. The tax classification is a Corp-C and exempt payee code is 5. Line 1 is its parent company and Line 2 is the disregarded entity name LLC. Do we need to report to its parent company or to its disregarded company and treat the payments as withholding? Please clarify this information for us. A. (Answered by COKALA Tax Information Reporting Solutions, LLC, a 3rd party, independent…

  Free with Starter Membership!

Join IOFM today as a Free Starter Member to get access to hundreds of Articles, Webinars, Expert Answers, Resource Downloads, and more!

Join Today

Naturally, this forum doesn’t allow the kind of full information exchange necessary for the Institute of Finance & Management (IOFM) to provide legal advice and the Expert is not a tax attorney in any event. Please understand that the nature of our responses are limited by these constraints as well as the site’s Terms of Use. If you have further questions or suggestions about how we can improve IOFM, please let us know. 
Ask The Expert is a member resource of IOFM and all advice provided is subject to site’s Terms of Use.

Subscribe to our Monthly Insider

You may unsubscribe from our mailing list at any time. Diversified Communications | 121 Free Street, Portland, ME 04101 | +1 207-842-5500