Attorney General Richard Cordray has announced the collaboration of state agencies to combat the misclassification of workers. In an unprecedented move to prevent misclassification, the Ohio Department of Job and Family Services, Ohio Department of Taxation, and Ohio Bureau of Workers’ Compensation joined forces in an agreement to release and exchange information. The agreement is [...]

The Treasury Inspector General for Tax Administration (TIGTA) released its review on the effectiveness of actions Internal Revenue Service had taken and planned to take to address the misclassification of employees as independent contractors. The report is titled , “While Actions Have Been Taken to Address Worker Misclassification, an Agency-Wide Employment Tax Program and Better [...]

  Quite often companies are mislead or are under the assumption that if you hire an independent contractor (IC) through a third party you have no risk or exposure to misclassification penalties.  Wrong!  Nokia recently settled a lawsuit in which that’s exactly what they thought.  Here are the highlights of their case:   Key Facts: Nokia contracted [...]

The SS-8 is an IRS Form that either a worker or a company can submit to the IRS for an official determination of the worker’s status (IC or employee).          Why would someone file an Form SS-8?    There can be a multitude of reasons why a worker would file an SS-8.  [...]

With corporations downsizing at a record pace, it’s inevitable that sooner or later an independent contractor will file a claim for unemployment benefits.  This is one of the easiest audit triggers that taxing authorities can follow up on.  Here’s how it works:    Companies are required to submit quarterly reporting to the state taxing authorities [...]