“Commissions Assigned as S Corporation
Management Fees, Exposed”
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Route commissions through an S corp. Pay yourself a salary. Take the rest as distributions. Save on self-employment tax.
You’ve heard it. Your colleagues do it.
But the IRS asks one question that unravels everything—and it has nothing to do with where the money lands.
If the contracts, licenses, and 1099s are in your name… the answer is already on paper. Management fees and ACH tricks don’t change the legal reality. And the IRS has a simple playbook for unwinding these setups.
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“Commissions Assigned as S Corporation
Management Fees, Exposed”