Legal Question in Business Law in New York

The answer is yes & no.

A minor, under the age of 18, cannot start a corporation in NY. However, a minor can own shares in a corporation and vote. So, an adult would need to form a corporation and then sell / transfer shares to the minor.

In Contrast, there is no restriction on forming or owning LLCs in NY

Minors with income do pay income tax. Tax consideration for the minor and his parents and the amounts of expected income would determine, in part, the choice of entity (corporation, LLC or a partnership). You should consult an accountant with respect to any possible taxes and then use a lawyer to properly set up a corporate entity.

Please be advised that consulting an attorney in this particular case is important because a 4 y.o.arguably may not be able to make the necessary corporate decisions which may open the door to liabilities despite the limited liability nature of a corporation / company.

Roman Fichman Esq.

TheLegalist.com

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