Questions & Answers

What if I'm an independent distributor/consultant or business owner?

Income you receive as an independent distributor/consultant or a business owner is generally considered self-employment income and is reported on Schedule C. You're required to report it on your tax return.

Examples include income from selling:

  • clothing and accessories (LuLaRoe, Thirty One Gifts)
  • personal care products (Forever Living, doTERRA, Melaleuca)
  • household products (Pampered Chef, Scentsy, Usbourne)
  • beauty products (Nu Skin, Mary Kay, Avon, Younique)
  • health products (Advocare, Isagenix, Herbalife, Beachbody)
  • other items
You can, however, generally take deductions to help offset that income; some common deductions include:
  • car expenses (miles driven)
  • home office deduction
  • inventory
  • commissions and fees
  • office supplies
  • subscriptions
For more information regarding self-employment income and expenses, see the IRS site, Self-Employed Individuals Tax Center.

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