D. Statutory Employees

Many women who work at home or who are paid on a commission basis (such as life insurance agents or salespeople) are classified by the IRS as statutory employees. The fact you may work out of your home with little or no direction or control from an employer and are paid commissions for services rendered does not matter for tax purposes. If you are a statutory employee, your commissions or pay will be subject to the same tax withholding requirements as other employees. Speak to your accountant or professional advisor for more information on this subject if applicable, such as to determine if you are a statutory non-employee not subject to withholding requirements. (Note: Licensed real estate agents and direct sellers such as door-to-door salespeople are considered statutory non-employees.)