The employer will not check the statutory employee box so he cannot deduct his employee business expenses. Any suggestions as to where he can put the wages which are really commissions?
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If the client is an employee, the commissions belong on a W-2, not on a Schedule C.
If the client has a lot of expenses, he should negotiate with his employer to pay the expenses under an "Accountable Plan", even if it means slightly reducing the amount of wages or commissions he receives.
If the client is an employee, the commissions belong on a W-2, not on a Schedule C.
If the client has a lot of expenses, he should negotiate with his employer to pay the expenses under an "Accountable Plan", even if it means slightly reducing the amount of wages or commissions he receives.
This conversation should have occurred a year ago, as 2018 was starting out.
One doesn't get to just *pick* statutory employee to save on taxes.
(edit - and why do I think this isn't going to be the first time the issue comes up? I bet TurdoTax will be going nuts over it.)
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