Discussion:1099 personel
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Discussion Forum Index --> Advanced Tax Questions --> 1099 personel
Discussion Forum Index --> Tax Questions --> 1099 personel
| 21 June 2008 | |
| If a person that works for you 40 hours a week regularly and signs a statement to you that they will be responsible for their own taxes can you treat them as 1099 or must you still treat them as W2 | |
| 21 June 2008 | |
| If you have a duck sign a contract that says he is a duck - no problem. If you have a moose sign the same contract - you may have a problem. | |
Donniecastleman (talk|edits) said: | 21 June 2008 |
| I see a lot of those statements floating around to sign as a musician and they usually have a clause about being paid as a non-employee and also not being allowed to collect worker's comp or unemployment compensation, don't know if they hold water, any lawyers want to tackle this before I become one?? | |
TheTinCook (talk|edits) said: | 21 June 2008 |
| Statements like that hold absolutely no water. The only thing that matters are the facts and circumstances surrounding the relationship between the EE/IC and the ER. I'd be especially cautious about having people sign statements barring them from W/C.
The only time that it could possibly matter, would be in an otherwise ambigious case of IC v EE where the intent of the parties needed to be examined.. | |
| 21 June 2008 | |
| If it looks like a duck, quacks like a duck, walks like a duck then it's a ..... | |
| 21 June 2008 | |
| Such a signed statement does not hold in court -- the person can always come around in the future (especially if there are disputes in other areas) refusing to pay employer portion of payroll taxes. It is then up to the tax court to decide whether or not he really is IC or EE, based on the facts and circumstances of his work relationship with you -- not the signed statement. | |
Kmikeburns (talk|edits) said: | 21 June 2008 |
| Not only that but anyone from the state unemployment people to the workers compensation to the IRS to a disgruntled spouse can make real trouble for you | |
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