Tell me more ×
Answers OnStartups is a question and answer site for entrepreneurs looking to start or run a new business. It's 100% free, no registration required.
up vote 4 down vote favorite
1

I've registered myself as a sole-proprietor business in Ontario, Canada.

My common-law partner often helps me with organization and other tasks. I want her to be legally able to purchase supplies with her own credit card, debit, or cash. And still be able to write them off as expenses.

Is this allowable by default or is there some sort of process for authorizing a family member to represent the business?

share|improve this question

1 Answer

up vote 2 down vote

There is no process for explicitly authorizing this, besides legally classifying her as an employee or business partner. That said, it looks like you don't have to.

http://www.inc.com/articles/1999/10/14677.html:

For tax purposes, your spouse is allowed to work for your sole proprietorship without being classified as an employee or as a business partner.

Related: http://www.nolo.com/legal-encyclopedia/question-sole-proprietorship-spouse-28208.html

share|improve this answer
1  
Good references. But it's worth noting that the OP is located in Canada, and this answer applies to US law. – Zuly Gonzalez♦ Jan 24 '12 at 3:52

Your Answer

 
discard

By posting your answer, you agree to the privacy policy and terms of service.

Not the answer you're looking for? Browse other questions tagged or ask your own question.