@Anonymous_ wrote:
It should be highlighted, at this point, that general partners in a partnership are considered to be self-employed and not employees of the partnership (i.e., they would not receive a W-2 from the partnership).
Right, but
a. if this is an S-corp, the taxpayer should be an employee, not a contractor, right?
b. if this is a partnership, and the taxpayer is supposedly a 5% owner but is providing more than 5% material participation, then the ownership percentage needs to be adjusted, rather than paying him/her as a contractor, right?
