- 23 -
independent contractor status. Id. at 271 (citing Breaux &
Daigle, Inc. v. United States, 900 F.2d at 53). Additionally,
maintenance of a home office is consistent with independent
contractor status, although alone it does not constitute
sufficient basis for a finding of independent contractor status.
Lewis v. Commissioner, T.C. Memo. 1993-635.
Petitioner owned two vehicles and claimed he utilized both
for work purposes for 2000, although the extent of such use is
disputed. The employment agreement provided that petitioner was
to maintain motor vehicle insurance at all times and that all
other related expenses were his responsibility. The record
reflects that petitioner worked at least part-time from home.
Petitioner claimed as a Schedule C deduction $3,191 for business
use of his home, which respondent allowed. Accordingly, the
Court concludes that this factor tends to weigh in favor of
independent contractor status.
3. Opportunity for Profit or Loss
Compensation on a commission basis is entirely consistent
with an employer-employee relationship. Tex. Carbonate Co. v.
Phinney, 307 F.2d 289, 292 (5th Cir. 1962); Capital Life & Health
Ins. Co. v. Bowers, 186 F.2d 943, 944-945 (4th Cir. 1951). While
petitioner could have conceivably suffered some loss as a result
of his sales activity for TIG, he may still be an employee under
the common law test if his risk of loss was negligible. See
Page: Previous 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Next
Last modified: November 10, 2007