My company took some time to get the necessary filings and paperwork together and establish its own bank account. During the time in which we did not have our own bank account, we used the bank account of a predecessor company. We had full control and access over the account and any and all activity that flowed through this account was activity conducted by the new company and not the old.
For financial statement purposes, I show this account on the new company's books?
Any implication for tax purposes?
I feel like the facts and circumstances dictate that this account obviously belongs to the new company being that it had full control and use and being that there were no activities being conducted by the old company.
The fact that the account was in the old company's name, though, raises some question.
For financial statement purposes, I show this account on the new company's books?
Any implication for tax purposes?
I feel like the facts and circumstances dictate that this account obviously belongs to the new company being that it had full control and use and being that there were no activities being conducted by the old company.
The fact that the account was in the old company's name, though, raises some question.
