- 15 - labor”, and these commission payments derive from the “carrying on” of petitioner’s business as an independent insurance agent with Conseco. In the present case, the renewal commission payments reflect renewed policies that were originally sold by petitioner as a representative, or one of his subordinate representatives, on behalf of Conseco in years dating back to 1985. The amounts of the renewal commission payments, received after termination of petitioner’s marketing agreement with Conseco, are calculated based upon the premiums received before petitioner’s termination. Unlike in Jackson, the renewal commission payments themselves and the amounts of such payments actually arise from petitioner’s business activity. See Jackson v. Commissioner, supra at 132. Additionally, unlike in Jackson, petitioner in the present situation had a vested right to the renewal commission payments, which consisted of an identifiable monetary amount. See id. Further, the renewal commission payments are disbursed not pursuant to a termination agreement but per the Marketing Agreement, without regard to whether petitioner was still employed by Conseco. Petitioner received the same renewal commission payments during his employment with Conseco and paid self-employment tax on those such payments. Like Lencke, the renewal commission payments retain the same character of thePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
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