Worker classification is an issue the IRS has indicated they will be paying more attention to. To assist taxpayers and businesses in determining if a worker is an employee or independent contractor, the IRS has issued Publication 1779. This publication can serve invaluable to business owners as failure to properly classify a worker can have significant consequences. For example, the business could be liable for unpaid withholding and payroll taxes. In addition, a business may owe workers for benefits they should have received. Please click HERE to view the worker classification reference guide, IRS Publication 1779.
If you have questions about worker classification, please contact our Tax Department at (781) 407-0300.