rgraham3
New Member

Consultant payments for S-Corp owner

I have a Vet who is working on going part time with his S-Corp practice.  He is wondering if he works at a different Vet business as sub when Vet is otherwise out for Vacation etc.  Doe the payment have to come to him and be reported as Sch. C - making him owe self employment taxes.  Can he have his S-Corp receive those payments and then pay the takes through the S-Corp.  The S-Corp would make payment (less taxes withheld) to the Vet/Owner of the S-Corp.  Is this proper?  This does not affect 2022 return but the Vet wanted to see for future planning.