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In the United States, any company or organization engaged in a trade or business that pays more than $600 to an independent contractor in one year is required to report this to the Internal Revenue Service (IRS) as well as to the contractor, using Form 1099-NEC.
Misclassification of employees as independent contractors is the way in which the United States and other countries classify the problem of false self-employment. In the U.S., it can occur with respect to tax treatment or the Fair Labor Standards Act.
For instance, in an effort to save on taxes, some independent contractors form an LLC and take the S-corporation option. This business entity is one in which you hire yourself through the business ...
The independent contractor files a Form 1040, just like an employee. However, there is a significant difference in how income is reported for contractors. However, there is a significant ...
There are some advantages to being an independent contractor, but most people labeled as contractors are really employees. Here are the top 11 things you need to know before (or even after) you ...
Gusto, Inc. is a company that provides a cloud-based payroll, benefits, and human resource management software for businesses based in the United States. Gusto handles payments to employees, and contractors and also handles electronically the paperwork necessary to help client companies comply with tax, labor, and immigration laws. [3]
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