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These would technically be Independent Contractor payments. They are included in payments you are making to independent contractors for whom you are issuing a Form 1099 to report the income. If you don't differentiate on the Form 1099 the commissions from the other contract work, then you do not need to do so on Schedule C, either. A commission on Schedule C is slightly different than sales commissions paid to contractors. Those commissions could be broker's commissions (or similar) which are not reported with other income on a Form 1099 and are not included in purchase price of inventory.
Having said this, what the IRS really wants to make sure of is that you have properly included the commissions paid on the Form 1099.
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‎December 16, 2020
10:39 AM