Help: Independent Contractor to its Own Business

[chloe]

Is that allowed for the business owner specifically C-Corporation to provide services to its own business as Independent Contractor?

For example:
Joe is an owner of X Company
Joe wants to provide services to X Company not as an employee but as an Independent Contractor.

Additional:
I also have done a research at IRS site Self-employed Independent Contractor needs to apply EIN. And found that you only need an EIN if any of the following applies to you:

- You have employees
- Operate business as a corporation or a partnership
- You file any of these tax returns: Employment, Excise, or Alcohol, Tobacco and Firearms
- Withhold taxes on income, other than wages, paid to a non-resident alien?
- You have a Keogh plan?
- Involved with any of the following types of organizations?
- Trusts, except certain grantor-owned revocable trusts, IRAs, Exempt Organization Business Income Tax Returns
Estates
Real estate mortgage investment conduits
Non-profit organizations
Farmers' cooperatives
Plan administrators

The business does not meet all the requirements. But owner ascertained that all of the self-employed need to have EIN. I need clarification if all self-employed really need to apply for EIN considering that she/he does not meet the requirements listed above.

Thank You.

 

[Qbookslave]

If the owner's contribution fits within the guidelines of an IE, then do it. If he's full time, he's an employee.