This is a great question, especially at this time of the year when Independent Distributors are gathering their tax information to send in their taxes on or before April 15, 2017. As explained in Section 3 of the Terms and Conditions, attached to the Independent Distributor Application Form, Independent Distributors are considered “independent contractors” and not “employees” of LifeVantage. This means that “LifeVantage is not responsible for withholding, and will not withhold or deduct from Independent Distributor’s bonuses and commissions, if any, taxes of any kind other than that required by law.” This means that instead of receiving a “W-2” from LifeVantage reporting all of you income, you will receive a “1099” instead. This also means that you can deduct certain expenses you incurred in building your LifeVantage business.
So, as you prepare to meet with your accountant or other tax professional, remember to gather those receipts for business building activities, i.e., phone bill, gas, food, meeting rooms, etc.. that you incurred during 2016 as an Independent Contractor. Such professional can help you take full advantage of running your own business.
At LifeVantage curiosity has our attention, science has our back and we recognize–and firmly believe–that your growth is the way of our future.