California‘s Governor has called a special session of the lawmakers to address a $10 billion shortfall in budget and in saving the unemployment fund. This action will effect IC tax enforcement. SACRAMENTO – Governor Arnold Schwarzenegger, alarmed by the ongoing national and state financial crisis, has called the legislature back into session on November 5th, [...]
The Rules are there for everyone to see. They aren’t secret. However, it is very common for people to misapply them and arrive at a different conclusion than the IRS. Why is that? Before I answer that, let me list and correlate the two different approaches of explaining the IRS rules for common law. Category [...]
This is the worst time to take shortcuts in your Contingent Worker and IC Consultant Compliance Programs. Banks are being taken over by the government, Wall Street is being “bailed out” and the unemployment rate is higher than it has been in years. In this economic environment companies that can reduce costs have a better [...]
Why does the auditor keep reassuring the taxpayer everything is going well during the audit, if there’s going to be a large tax assessment at the end? Clients often tell me about the auditor who seemed to be such a nice guy. They say, “He smiled whenever he asked questions, answered all my questions and [...]
I have a question for you this week. Are you taking the proper precautions to insure your Independent Contractors are really IC’s? Or have you assigned a weekend warrior to fight the career professionals who will be challenging the status of your consultants? Most of you probably will answer, “Yes, of course, we are doing [...]
Stocks have taken a nose-dive recently and changed Wall Street’s landscape-maybe forever. You can turn on the radio, TV, or go to any news site and get reports such as, “S&P 500 plunged…the NASDAQ crashes…the NYSE composite dived 5.1%…rattled investors rush to dump shares…” The list goes on and on. So what does that have [...]
The Short Answer: Nothing-for all practical purposes they’re the same. If you’re surprised read on. It may be easier if we explore some traits about each animal: A sole proprietor (without employees) is a business wholly owned by a single person, which provides goods or services to other entities. Traits: Operates their own business independent [...]
WASHINGTON – The Internal Revenue Service has announced that interest rates for the calendar quarter beginning October 1, 2008 will increase by one percentage point. This includes the interest charged against tax liabilities assessed for income tax and for employment taxes resulting from misclassified workers. The interest charged is compounded daily from the date the [...]
The other day I was asked, “Why does training an Independent Contractor to do a job make them an employee under common law?” The client went on to explain it’s usually necessary to train a new person who will be working on a project so they can fit in with the regular staff and know [...]
powered by WordPress
