03-07-2013, 09:50 AM
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It's 42
Industry Role:
Join Date: Jun 2010
Location: Global
Posts: 18,083
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Under $600 NP over $600 1099. The payment of a commission needs to be reported.
Payment by invoice of some purchase could be an expense.
Payment of any compensation, like a commissions split would be a "cost of labor" and labor payments are w-2 or 1099.
They might disallow the deduction -- yes.
The above offered in conversation and not accounting advice -- ask a PA or CPA for a qualified opinion.
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