![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
So my friend is joining another troupe, and the subject of troupe dues came up. And yes, it made me pause for a moment, but after the knee-jerk "you want me to pay (above and beyond the price of the class) to join a group?!" reaction, I do understand. As far as I know they are one of the few (only?) groups that do so, but they have a website and advertising and buy new troupe members costumes, so they need funds. And, outside of this area, other troupes do have dues, though most seem to come with extra perks like discounted workshops or unlimited classes.
So, you pay troupe dues, and the troupe gets paying gigs, which then makes the troupe a business. This is where, if you're a stickler, it starts to get complicated. Especially in terms of liability and taxes. I'm sure most groups don't really take this into account, but you know me, always going into the most bizarre "what-if" scenarios.
If you participate in a paying gig, technically you need to pay taxes. Which makes you self-employed, which is a whole other set of forms and taxes. Then again, you can also deduct your dues, though you can only operate at a loss for so long. And what if someone is injured at a workshop or performance? Does the group have insurance? Can you be held liable? Many teachers who give private lessons carry insurance riders for just that possibility. In the sue-happy culture that is the US, that is a sobering thought.
There is a huge leap from "group of friends dancing together for fun" and "for-profit troupe".
And, of course, being the cynical, non-trusting person I am, I would want accounting statements and whatnot showing balances and expenditures, and I think there would have to be a pretty clear understanding of who gets paid what when there is a paying performance, and in the case of workshops, what happens to any profits.
So, you pay troupe dues, and the troupe gets paying gigs, which then makes the troupe a business. This is where, if you're a stickler, it starts to get complicated. Especially in terms of liability and taxes. I'm sure most groups don't really take this into account, but you know me, always going into the most bizarre "what-if" scenarios.
If you participate in a paying gig, technically you need to pay taxes. Which makes you self-employed, which is a whole other set of forms and taxes. Then again, you can also deduct your dues, though you can only operate at a loss for so long. And what if someone is injured at a workshop or performance? Does the group have insurance? Can you be held liable? Many teachers who give private lessons carry insurance riders for just that possibility. In the sue-happy culture that is the US, that is a sobering thought.
There is a huge leap from "group of friends dancing together for fun" and "for-profit troupe".
And, of course, being the cynical, non-trusting person I am, I would want accounting statements and whatnot showing balances and expenditures, and I think there would have to be a pretty clear understanding of who gets paid what when there is a paying performance, and in the case of workshops, what happens to any profits.