Tax Tip: Independent Contractor vs. Employee
Here is the first in a long series of Tax Tips by me, Wendy Cassera of Taxpectations! With well over 25 years experience, I am accomplished in all areas of accounting, bookkeeping and tax preparation. Including full payroll, all payroll taxes, and workmans compensation audits. I work with my clients and handle and prepare all individual, business, and corporate income, sales & use and local taxes. I am also very experienced in virtual accounting and bookkeeping with clients across the United States. I have clients on both coasts and in between, however, I am based in Myrtle Beach, South Carolina. I love the beach life. The Myrtle Beach area is home to many hospitality businesses and I work with a fair number of them.
The first Tax Tip is about determining whether the people that work for you are Independent Contractors or Employees.
Watch this YouTube video –>
As mentioned in the video, you can go to IRS.gov to find the checklist. I have the direct link here. Use this list to determine whether your people are employees or independent contractors. For obvious reasons (different taxes and employer responsibilities) it is important to determine and classify them!
If you have further questions regarding your employees status, connect with me and I’ll be happy to answer.