Thursday, August 11, 2011

A spa w therapists on Ind. Contractor status who get commission only. Do I 1099 them or is it spa income only?

If you are the spa and the therapists set their own hours, set their own rates and bring their own tables, but the pay is billed through the spa, you need to issue 1099-Misc forms. Otherwise the IRS won't let you deduct the money you paid them.

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