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Nonemployer Establishments Source: U.S. Bureau of the Census, Nonemployer Statistics.
Updated annually.
http://www.census.gov/epcd/nonemployer Definitions: A nonemployer business is one that has no paid employees,
has annual business receipts of $1,000 or more ($1 or more in the construction
industries), and is subject to federal income taxes. Nonemployer businesses
are generally small, such as real estate agents and independent contractors.
Nonemployers constitute nearly three-quarters of all businesses, but they
contribute only about three percent of overall sales and receipts data.
Nonemployers are not included in the counts of establishments from Generally, an establishment is a single physical location
at which business is conducted or services or industrial operations are
performed. However, for nonemployers, each distinct business income tax return
filed by a nonemployer business is counted as an establishment. Nonemployer
businesses may operate from a home address or a separate physical location.
Most geography codes are derived from the business owner's mailing address,
which may not be the same as the physical location of the business. Scope and Methodology: Nonemployer statistics data originate chiefly from administrative records
of the Internal Revenue Service (IRS). Data are primarily comprised of sole
proprietorship businesses filing IRS Form 1040, Schedule C, although a small
percentage of the data is derived from filers of partnership and corporation
tax returns that report no paid employees. These data undergo complex
processing, editing, and analytical review at the Census Bureau to distinguish
nonemployers from employers, correct and complete data items, and form the
final nonemployer universe. The 1997 Nonemployer Statistics is published as part of the 1997 Economic
Census, and key displays combine data for nonemployers and employers. Data
are published annually beginning with 1998, but without comparable employer
data. More information:
