When is a worker an employee? The IRS and state tax authorities are targeting the workforce that is incorrectly being classified as “1099 contractors” when in fact they are employees. Why Are They Cracking Down? The loss to tax authorities by treating legitimate employees as 1099 contractors is substantial. The employer is avoiding withholdings for […]
Tag: "w-2 vs 1099"
When is a worker an employee and when is a worker an independent contractor? Employers worry that they may have an independent contractor that is actually an employee. Please remember this important fact: There is no such thing as a 1099 employee. The worker is either an employee, requiring tax withholding and an issued W-2, […]