How do yall prove your income?

Discussion in 'Business Operations' started by Justinp, Apr 7, 2011.

  1. Justinp

    Justinp LawnSite Member
    from Austin
    Posts: 23

    How do yall prove your income? For instance you want to get a new truck and you need proof of income. Do yall just show deposits into your bank account, last years W2? Who has software to produce your own pay check stub? What is it? How do you figure what amount taxes are to show the net income? Thanks

    Sole Proprietorship.
     
  2. PROCUT1

    PROCUT1 LawnSite Platinum Member
    from TN
    Posts: 4,909

    I highly recommend you get an accountant to start otherwise you will find yourself in trouble fast.

    Yes, you use either w-2 if youre a corporation, and/or tax returns as a sole prop.
     
  3. usually show tax return.
     
  4. Justinp

    Justinp LawnSite Member
    from Austin
    Posts: 23

    Ya, but doing that is a bit deceiving if you having a bad year or if your just starting out. I have used my bank account with no issue to buy a car, but if it came down to something important like a house im sure they will get picky.
     
  5. zturncutter

    zturncutter LawnSite Bronze Member
    Posts: 1,308

    I think he just might be already in trouble :laugh:
     
  6. AI Inc

    AI Inc LawnSite Fanatic
    Posts: 25,164

    Their not picky, they just want documentation.
     
  7. Justinp

    Justinp LawnSite Member
    from Austin
    Posts: 23

    Maybe, but you could be a drug dealer that likes to deposit money in the checking account for all they know lol.
     
  8. Flatop

    Flatop LawnSite Member
    Posts: 236

    I second the tax return. I went shopping for some liability insurance (see if anyone can beat previous insurance rate) and the first thing they asked me was my tax return for my business. My premium depended on my income from last years tax return.
     
  9. DeereHauler

    DeereHauler LawnSite Senior Member
    Posts: 604

    Haha.....Welcome to the world of owning a small business!
     
  10. shade tree landscaping

    shade tree landscaping LawnSite Senior Member
    Posts: 915

    if your paying yourself and employees, just show your stub...if your working alone and not drawing a paycheck last yrs tax return (1049 I belive, could be wrong) will show you as a business. W-2 is you as a person...again I could be wrong so don't hold me to the tax documents! I'm not an accountant....but he is worth every penny! Find you you like and he will be worth his weight in gold!
     

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