bdk Loc: Sanibel Fl.

I have no ideas on thge correct answer but I wonder if you have make social security payments. Of course you'll need to be insured, but that could also be a negotiating point

LoneRangeFinder Loc: Left field

One does. In a W-2 employee/employer relationship, each pays half of the total due. With a 1099, the issuer of the form is paying only the amount of the contract. the entity doing the hiring should be getting a w9 from the recipient. A copy of the 1099 is sent to both the IRS and the individual. The individual is responsible for reporting the total of all 1099 income on a Schedule C which is attached to their 1040. Form SE is used to calculate the social security due to the IRS. The individual is allowed to deduct 1/2 of these payments equal to the amount that would be withheld if they were a W2 employee. I should add: business owners are required to complete the 1099 when their payments to an individual are equal to, or exceed $600 in a tax year, which can be calendar or fiscal.

BHC Loc: Strawberry Valley, JF, USA

I don't think anyone in the world has ever read the entire US tax code, but, as Apaflo stated, there are a myriad of members out there, each with their own interpretation or opinion. Here's one more:

I don't think the IRS cares provided there is a contract which does not violate the provisions of the IRS code. The contract, the lack of which would be very foolish, should include provisions for ownership of the copyright and use of the image in language which is specific with regard to the Copyright Law. Also, make sure that you are within the scope of the definition of an independent contractor. IRS codes are VERY specific regarding this measure.

Does anyone out there know if the $600 exclusion still applies?

SharpShooter Loc: NorCal

The 1099 is for the payer, not the payee.
It simply reports to the IRS that any money the realty pays to you has been reported to have been payed to you. Otherwise the person paying you would have to pay the taxes on it and claim it as income and they want you to do that.
It's the form that tells the IRS that you are responsible for paying any taxes on the say 10,000 dollars they payed to you!
But YOU have to be a fully licensed business to be a sub-contractor and assume liabilities on your end.
Just because they pay you with a 1099 does NOT make you a sub-contracter. Without you processing all the business requirements required by your state, you are technically still their employee, whether they want to recognize it or not and just handing you a 1099 does not make you a sub-contractor.
1099's are federal so they probably don't change by state but what is a subcontractor is a state thing. Also if you need to collect state sales tax is a state thing, so talk to your state tax and resale boards about being a business.
Everything you need to know can be told to you by the IRS and your state tax and local city business licensing agencies.
There is no need to involve a lawyer, what a waste of money. You just need to make a few phone calls to the right agencies. It's actually a very simple process. Good luck!
SS

WessoJPEG Loc: Cincinnati, Ohio

Why would you want to keep Photos of Realestate thats not yours?

billnikon Loc: Pennsylvania/Ohio/Florida/Maui/Oregon/Vermont

You are the exclusive photographer, which implies you know what your doing otherwise they would not have hired you as the EXCLUSIVE photographer. Good luck.

WessoJPEG Loc: Cincinnati, Ohio

N

Szalajj Loc: Salem, NH

Get a lawyer to review any contract when ownership or Copyrights are at question.

Even a single word in the contract can and will change the meaning and outcome of the contract!

I'm not a lawyer, nor am I a law student, but I recently witnessed a judicial ruling, that for a short time ruled against the plaintiff in what should have been a slam dunk case for the plaintiff. The judge explained how the plaintiff's side could fix the problem, which they're now in the process of doing! That case is nearly two years into getting a resolution, but it could have ended without any remedy if the judge hadn't been understanding! The defense is essentially screwed in that case because they've broken so many laws!

Basically, don't sign any contract without a full legal review and understanding of it's content! That includes employment or contractor agreements!

If the OP wants to retain ownership or Copyright control of their photographic work, they need it spelled out in writing BEFORE any photos are taken, or any services are agreed to!

The problem is what kind of a lawyer to contact, because you don't want to use someone who specializes in family law to handle the review and negotiations having to do with business and Copyright laws? And you want someone who has some previous experience with successfully negotiating these kinds of contracts!

Do your due diligence and get someone who's good at what they do!

Paying a little more up front, will save you a lot of money in the long run!

Szalajj Loc: Salem, NH

The OP, needs to charge enough to basically cover their taxes!

This is where a business accountant or CPA, come in handy!

Set the rate high enough to cover your local, state, and federal taxes.

Put those funds aside, because you're going to have to pay those taxes, either quarterly, or at the end of the year, and you certainly don't want sticker shock at the last minute when you have to write those checks!

Setting up your business structure before you do any work is key to avoiding surprises in the long run!

Lawyers and Accountants are the most important parts of running a business after you decide that you're going to become your own boss, even if it's just for a single photo shoot!

They're the ones who dot the "I's", and cross the "T's" to keep you legal and above board with your business!

LoneRangeFinder Loc: Left field

You are mostly correct. The 1099 is an expense for the payee-- not income as you imply. It's income for the recipient. You are correct in stating that it does not create an employer-employee relationship. Oregon has one of the most narrow definitions of self-employment. The 1099 is ONLY about federal taxes. It's only a statement someone was paid $x.xx and no taxes have been withheld. Finally, the 1099 has zero to do with any contract, implied or otherwise.

David Kay Loc: Arlington Heights IL

WRONG. Contact an attorney for legal advice in your area!!!! A 1099 form is not a contract.

Billyspad Loc: The Philippines

Why are you bothered about image ownership? Do you see a big profitable after sales market for shots of kitchens living rooms and the odd john cos if there is I musta missed it.

ronz Loc: Florida

I think it may be like I shoot for several magazines. They email me what articles they want in their publication and I submit photos to correspond to their articles. If for some reason they don't use them in the stated publication they have the right to hold them and use in later publications. I can use them in my portfolio and if they don't use them in their stated issues, I have the right to submit to another magazine. I have shot a few real estate deals. They offer a fixed price for a particular house or property, I can accept or not. I email the photos to them so they can sell the house and use the photos on line, in MLS and make brochures with them. I simply get a check when I give them the photos. I can use them but don't know why I would. Deal done......

Ttaylor

I was contracted to work for a labor union (not photography) producing stuff that they used over and over again.

I retained the copyright and they got a license to use it.

Al Beatty Loc: Boise, Idaho

Hi group,
Several people made good points but ronz hit the nail on the head. The most important consideration has been missed by most of the posters except Jim (maybe a couple of others) and that is insurance. Who owns the rights to a house photo at some point in the future is "nothing" compared to your liability if a kid (or adult) gets hurt falling over your tripod (or ???) during a shoot. Other photography considerations regarding real estate photography is using a drone but not the subject in this discussion. But the three most important considerations in this discussion is "lawyer, insurance & incorporation of your contract business." "Incorporation," you might ask? Yes! It protects your house and personal belongings from any unfortunate lawsuits. Take care & ...