Deposit in S-Corp Acct or Personal
I have a property that I am doing a lease option on. I just received the down payment and do not know what to do with the money. I do not want to pay taxes on it (or at least as little as required) but will pay my share.
My question is I have a corporation (S) and the property is in my wifes and my name, not corp. Do I deposit the down payment and all monthly rental checks into a personal or the corp account? for tax purposes of course.
Thank You for your help
What did your accountant say when you asked him/her this question?
If you have not asked yet, I suspect the answer you get will be if the property is not a corporation asset, keep the money out of the corporation account. Don't muddy up your bookkeeping by comingling your personal funds with the corporation's money.
For tax purposes, you are taxed on income received even it it never gets deposited.