<p>But perhaps you missed my earlier post, as I read the IRS guidelines for independent contractors most of these FX people are not legitimately able to work as ICs. Most FX people have to work on-site as they need access to the equipment that the production company owns. And that fact alone means that they probably aren’t legally able to work as independent contractors. Most are or should be hired as free-lance which is a different situation. As my accountant always explained it, if you can’t do the work at home because you need to use the company’s equipment you can’t legally work as an independent contractor. Now if you have the equipment at home and are producing the work at home and turning it in then you’re legitimately an independent contractor. The IRS guidelines seem to bear this out.</p>
<p>Also you can only deduct the home expenses and office space based on a percentage of the amount of work you actually do at home. Not many of these people actually are working from home except for the time spent drumming up more work, the actual time you are working from that space. </p>
<p>Of course there’s a lot of fudging going on and I’m sure a lot of people are working as IC’s without even being aware of the guildelines and aren’t trying to bend rules.</p>