Article Archives >> Ready Reference >> December 1999
Preview of Article:
Classify: Employee or Independent Contractor?
The IRS has listed 20 factors in determining whether a worker is an employee or an independent contractor, but, in the final analysis, control is the key
Excerpt:
When the IRS audits a nonprofit organization, one of the first things
it looks at are the employment records and the classification of any independent
contractors. If the organization has not been withholding income taxes
and FICA payments for those the IRS considers to be employees, it can
be a costly experience for the organization, and potential personal liability
for the "responsible persons" who failed to withhold. Although it may
seem like a real bother, err on the side of withholding.
Article Archives >> Ready Reference >> December 1999
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