Independent Contractor Compliance Blog - by Collabrus™

Short Independent Contractor Quiz

Do you have two minutes? Take this short test to see if you are misclassifying your consultants.
My clients often ask me for the silver bullet, the quick and simple way to know for certain if a consultant is properly classified as an IC or not. 
The truth is there is no silver bullet. Common law is […]

US Supreme Court Ruling Offers Insights to Employer/Employee Relationship

A recent US Supreme Court ruling about text messaging provides some insight on how the Court sees a limited segment of employer-employee relationship.
The U.S. Supreme Court issued a ruling stating employers may conduct limited warrantless searches of electronic media. To read the decision you may go to:  http://www.supremecourt.gov/opinions/09pdf/08-1332.pdf
There were also some implied assumptions about the […]

IRS Commissioner Excited About New Law

Douglas H. Shulman, IRS Commissioner, recently spoke before the American Payroll Association & the American Accounts Payable Association. He said he’s excited about the new law I mentioned earlier this week giving the IRS more tools to close the Tax Gap…
Commissioner Shulman stated that the IRS is gearing up to implement new requirements recently passed into law […]

The IRS is Requesting Input on 1099 Reporting Requirement for Corporations.

WASHINGTON DC-The Internal Revenue Service invited public comment on how to carry out “The Patient Protection and Affordable Care Act of 2010,” also known as the Heath Care Bill, that requires all corporations to receive a Form 1099 for their goods and services to other businesses.
What does Health Care have to do with 1009 reporting?
A […]

The Tale of Two Consultants…

Recently, I completed an internal review for a company who wanted to prepare for an anticipated IRS employment tax audit.
Unfortunately, the company waited until they had already been contacted by the IRS before looking at their consultants’ status and proper documentation from a third-party’s objective perspective. It’s too late to lock the barn door after […]

U.S. Department of Labor is Planning to Get Tougher on Worker Misclassification

Last week Deputy Labor Secretary Seth Harris, speaking in Washington DC before the Center for American Progress (a pro labor research group) said his department intends to foster a stronger culture of IC compliance among employers to counter a practice he describes as follows: “They are playing a dangerous game of catch me if you […]

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