Legal advices appreciated on using home address as business address

#16
IANAL, but if your operating a business out of your home and you are a sole proprietor than the portion of the home used can be a deducted from your personal income tax. If she forms an LLC, then her personal assets cannot be seized. But it has to be her home, not yours.

It depends on what type of business she is starting, sole, partnership, LLC, corp? But if you were audited/or she was I'd think you'd run into problems unless it was your business. Talk to a tax lawyer, or someone familiar with your state/federal laws.

Opening a box at the UPS store, gives you an actual address and they sign for packages.
 
#18
sanity said:
I did suggest using their own home addresses but my sister felt that their addresses are not impressive (business like) and clients will know she operates from home.

I suggest PO Box but my sister felt that that is not a proper business address. She is also not in favour of a mailbox address because of the inconvenience of going there to collect the mails etc.
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I'd have to say at the UPS store because I had a box there for years it was an actual address, with a suite number and a live person who took delivery of packages. And they would forward your mail to you if you wanted (charged ofcourse). So that is a cop out that it is not a proper address.
 
#19
snoozle said:
I'd have to say at the UPS store because I had a box there for years it was an actual address, with a suite number and a live person who took delivery of packages. And they would forward your mail to you if you wanted (charged ofcourse). So that is a cop out that it is not a proper address.
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Thanks ladies for all the advices. I will propose the suggestion made by snoozle.

Frankly I am really worried about the implications of using my home address as her business address. I know my sister will be unhappy if I turn her down. But I rather let her be unhappy now then me having to worry about the business and implications etc etc. What if she goes into something not legal in the future? The thoughts are scary!!
 
#20
If you have a homeowner's association where you live, this may be a good excuse as most do not allow people to use homes as a business. You might give that as an excuse OR tell them you don't want to get in trouble with the IRS (which you could).
 
#21
We have a business that we run out of our home and we use a UPS store for deliveries and mailing address. There would be no advantage for her to use your address over a UPS address. And if you are worried that she would do things illegal in the future...big red flag!
 
#22
catnaz said:
We have a business that we run out of our home and we use a UPS store for deliveries and mailing address. There would be no advantage for her to use your address over a UPS address. And if you are worried that she would do things illegal in the future...big red flag!
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My nephew's wife intends to set up a recruitment agency and most of the recruitments will be done via internet, phone and personal interviews of candidates and coordination with clients. By setting up my home address as business address, she intends to channel all mails to my house. Most likely, she will expect me to do her paperwork which includes banking, redirecting the mails to her etc. She lives quite a distance from my house and she doesnt drive. It will take me at least 10 mins to walk to the banks and the nearest mail drop box.

Frankly, if it is my own business, I will not hesitate to use my house address as business address. It is my risk I am taking.

Besides, I dont really know her well and have no idea if she intends to venture into other businesses in the future.
 
#23
Thanks ladies for all the wonderful advices. I spoke to my sister and proposed that she used a mailing address for my nephew's wife and get them to redirect the mails to the latter. I explained that my DH was not in favour (which is the truth). She agreed :smile: athough reluctantly.
 
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