Thank you. One follow-up question:
"Agency A made payments of $600 to Artist B for $1000 Royalties Received minus $400 commission.
Agency A is a C-Corp filing as an S-Corp, using Form 1120-S.
1. What income category is the $1000 royalties received by the agency reported under? These were sent to the Corporation but they are on behalf of the artist and reported under the Artists' 1099-Misc.
2. What expense category is the $600 paid to the artists reported under?"
Thanks,
Lisa
