Statutory employee receives real estate commission from sale unrelated to employment, brokerage is the same entity as employer, should commission be taxed as reg. payroll

[pk]

@sadie-glory , the term "employee" as in statutory employee implies  that the income be treated as wages  and as  such  FICA, Federal and State taxes should be withheld by the employer . If the employer ( perhaps in error ) issues a 1099-NEC, then the FICA/SECA  ( plus  Federal and State is your responsibility ).   Note that it is to your advantage  for the employer to consider  this as wages , since then  you pay only half of the FICA/SECA taxes  while the employer pays the other half ( for 1099-NEC  it is all your to pay ).

Does that make sense ?

pk

[TomD8]

"...real estate commission from sale unrelated to employment"

Since the commission was unrelated to the taxpayer's employment, it should be reported in Box 1 of a 1099-NEC as Nonemployee compensation.