Posts Tagged ‘Taxes’

FUTA Credit Reduction Impacts 19 States

Monday, November 26th, 2012

FUTA Credit ReductionDue to high unemployment rates that have occurred throughout the United States over the past several years, many states are now subject to a FUTA Credit reduction.  This article will briefly discuss Credit reduction and how it may affect your business.

The standard Federal Unemployment Tax (FUTA) is 6.0% on the first $7000 in employee wages subject to FUTA.  However, the federal government provides a 5.4% tax credit which results in an effective federal unemployment tax rate of 0.6% on the first $7000 in subject wages, (equivalent to $42 per employee, per year).

Why the Credit is Reduced
According to federal law, states with a high rate of unemployment and difficulty meeting their benefit obligations can borrow money from the FUTA account. If a state has an outstanding loan on January 1 for two consecutive years, and does not repay the full amount by November 10 of the second year, the FUTA credit rate for employers in that state will be reduced until the loan is repaid.

A state with an outstanding loan can avoid a credit reduction by repaying the loan by November 10th of the year the reduction is scheduled to take effect.  If the loan is not repaid by that date, a credit reduction of 0.3% goes into effect, with employers in that state having their maximum credit reduced to 5.1% (5.4% – 0.3%) and their effective FUTA tax rate increased to 0.9% (0.6% + 0.3%) or $63 per employee in the first year of reduction.  Each year a loan remains unpaid, the credit reduction increases by 0.3%, although there are limits for states that have made efforts to keep their balances in check.

How will this affect your company?
If you were required to pay state unemployment in any of the impacted states during 2012, you should expect to pay additional Federal Unemployment Tax on the wages paid in these states when the 940 return is filed for 2012 (due January 31, 2013).  Each credit reduction increase of 0.3% will result in an additional $21 per employee that earns at least $7,000 in subject wages:

0.3% reduction = additional $21 per employee
0.6% reduction = additional $42 per employee
0.9% reduction = additional $63 per employee
1.2% reduction = additional $84 per employee
1.5% reduction = additional $105 per employee

The additional FUTA liability will appear on the Schedule A form, which is filed with the 940 return in the 4th quarter packet.

States Reduction Rate
Arizona .003
Arkansas .006
California .006
Connecticut .006
Delaware .003
Florida .006
Georgia .006
Indiana .009
Kentucky .006
Missouri .006
Nevada .006
New Jersey .006
New York .006
North Carolina .006
Ohio .006
Rhode Island .006
Vermont .003
Virgin Islands .015
Wisconsin .006

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

How to Calculate and Make Estimated Tax Payments

Monday, March 26th, 2012

Calculate and Pay Estimated Taxby Caron Beesley, Community Moderator, SBA.GOV

As a new business owner, understanding your tax obligations is critical and one of the first requirements you’ll need to understand are estimated tax payments.

What are estimated taxes? Who must pay them and how? Below are some facts from the IRS Estimated Tax Guide to help new small business owners understand their estimated tax obligations.

What Are Estimated Taxes?

The IRS and your state’s treasury department require that individuals and businesses pay taxes almost as quickly as they earn income. If taxes aren’t withheld from wages or other payments, then you will likely need to pay estimated tax payments each quarter.

Think of estimated taxes as a “pay-as-you-go” tax. Four times a year (quarterly), you are required to send Uncle Sam enough of your revenues to cover your income tax and your self-employment tax (Social Security and Medicare) obligations.

If you don’t pay enough tax throughout the year, either through withholding or by making estimated tax payments, you may have to pay a penalty for underpayment of estimated tax. However, the IRS knows that calculating earnings isn’t easy, so it offers a safe harbor rule – if you pay at least as much as your previous year’s liability or pay within 90 percent of your actual liability, there’s no penalty for underpayment.

Who Pays Estimated Taxes?

If you are self-employed and expect to owe $1,000 or more when you file your annual return, then you must pay estimated taxes on income.  If it’s not through withholding, then it has to be done by quarterly estimated taxes. If your business is structured as a corporation, you’ll need to pay estimated taxes if you expect to owe $500 when you file.

How Much Should You Pay in Estimated Taxes?

Calculating what you owe each quarter requires figuring out your expected adjusted gross income, taxable income, taxes, deductions, and credits for the year. Each business situation is different, especially if you are a new business owner, so it’s worth spending some time with a tax advisor to understand the best calculation method for your situation.

You have a number of options when it comes to calculating what you owe each quarter:

  • Use Form 1040-ES – You can calculate your quarterly estimated tax payment using Form 1040-ES (the same form used to pay estimated taxes), which includes a worksheet that helps you estimate how much you owe for the current year. Corporations should use Form 1120-W to calculate estimated taxes.
  • Refer to Last Year’s Return – If you have been in business for a while, you can refer to your previous year’s federal tax return. Include all the income and deductions you expect to take on your current year’s tax return and refer to the total tax you paid so that your estimated tax payments are in the same range as last year’s taxes (100-110 percent is the range to shoot for to avoid underpayment problems).
  • Make a Quarterly Calculation – If you are a freelancer or independent contractor and face fluctuating or cyclical income, you might prefer to calculate your estimated taxes on a quarterly basis.

The IRS offers more advice in its Estimated Taxes Guide on how to calculate your payment and adjust estimates if you think you are paying too much – or too little – as the year progresses.

When Are Payments Due?

For estimated tax purposes, the year is divided into four payment periods. Payments for each year are due on the 15th day of April, June, September and the following January. You should try to pay at least the minimum owed by the due date (with the remainder paid on April 15), or risk incurring penalties from the IRS or your state.

How To Pay Estimated Taxes

Paying your estimated taxes is an easy process. If you are filing as a self-employed individual, use Form 1040-ES, which includes quarterly payment vouchers to submit with your payment. Corporations can deposit the payments by using the Electronic Federal Tax Payment System for deposit coupons (Forms 8109). Once you are in the system, the IRS will send you payment vouchers at the end of each tax year so you won’t have to worry about downloading the latest forms.

Paying Estimate Taxes to Your State?

You need to pay your estimated state income taxes at the same time you pay your federal taxes. Find links to your state’s tax office for the appropriate forms here.

Talk to a Tax Specialist

Spend an hour with a tax specialist to help you understand what the best calculation methods are, how to appropriately track and deduct expenses, and how to maintain good records. Many will provide this initial consultation for free simply because they hope you will return and use them come filing season.

Additional Resources

 

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Payroll Tax Cut Extended to the End of 2012

Saturday, February 25th, 2012

Tax Cut ExtendedIR-2012-27, Feb. 23, 2012

WASHINGTON — The Internal Revenue Service today released revised Form 941 enabling employers to properly report the newly-extended payroll tax cut benefiting nearly 160 million workers.

Under the Middle Class Tax Relief and Job Creation Act of 2012, enacted yesterday, workers will continue to receive larger paychecks for the rest of this year based on a lower social security tax withholding rate of 4.2 percent, which is two percentage points less than the 6.2 percent rate in effect prior to 2011. This reduced rate, originally in effect for all of 2011, was extended through the end of February by the Temporary Payroll Tax Cut Continuation Act of 2011, enacted Dec. 23.

No action is required by workers to continue receiving the payroll tax cut. As before, the lower rate will have no effect on workers’ future Social Security benefits. The reduction in revenues to the Social Security Trust Fund will be made up by transfers from the General Fund.

Self-employed individuals will also benefit from a comparable rate reduction in the social security portion of the self-employment tax from 12.4 percent to 10.4 percent. For 2012, the social security tax applies to the first $110,100 of wages and net self-employment income received by an individual.

The new law also repeals the two-percent recapture tax included in the December legislation that effectively capped at $18,350 the amount of wages eligible for the payroll tax cut. As a result, the now repealed recapture tax does not apply.
The IRS will issue additional guidance, as needed, to implement the newly-extended payroll tax cut, and any further updates will be posted on IRS.gov.

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Why Did My Taxes Change?

Tuesday, January 17th, 2012

Employee Net PayEach year, payroll departments are inundated with inquiries about changes to the net pay employees receive.  In most cases, a simple reminder that the tax tables change as of January 1st is enough, but some employees will want to confirm that the correct amount of tax was withheld from their paycheck.  Here’s a simple way employees can do their own verification by using the tables in the “Wage Bracket Method for Income Tax Withholding” section in the IRS Publication 15, the Employer’s Tax Guide.

This IRS publication, which also includes a lot of other useful information about income taxes, can be found by clicking here.

Six Important Facts about Dependents and Exemptions

IRS TAX TIP 2012-07, January 11, 2012
Even though each individual tax return is different, some tax rules affect every person who may have to file a federal income tax return. These rules include dependents and exemptions. The IRS has six important facts about dependents and exemptions that will help you file your 2011 tax return.

  1. Exemptions reduce your taxable income. There are two types of exemptions: personal exemptions and exemptions for dependents. For each exemption you can deduct $3,700 on your 2011 tax return.
  2. Your spouse is never considered your dependent. On a joint return, you may claim one exemption for yourself and one for your spouse. If you’re filing a separate return, you may claim the exemption for your spouse only if they had no gross income, are not filing a joint return, and were not the dependent of another taxpayer.
  3. Exemptions for dependents. You generally can take an exemption for each of your dependents. A dependent is your qualifying child or qualifying relative. You must list the Social Security number of any dependent for whom you claim an exemption.
  4. If someone else claims you as a dependent, you may still be required to file your own tax return. Whether you must file a return depends on several factors including the amount of your unearned, earned or gross income, your marital status and any special taxes you owe.
  5. If you are a dependent, you may not claim an exemption. If someone else – such as your parent – claims you as a dependent, you may not claim your personal exemption on your own tax return.
  6. Some people cannot be claimed as your dependent. Generally, you may not claim a married person as a dependent if they file a joint return with their spouse. Also, to claim someone as a dependent, that person must be a U.S. citizen, U.S. resident alien, U.S. national or resident of Canada or Mexico for some part of the year. There is an exception to this rule for certain adopted children. See IRS Publication 501, Exemptions, Standard Deduction, and Filing Information for additional tests to determine who can be claimed as a dependent.

For more information on exemptions, dependents and whether you or your dependent needs to file a tax return, see IRS Publication 501. The publication is available at www.irs.gov or can be ordered by calling 800-TAX-FORM (800-829-3676). You can also use the Interactive Tax Assistant at www.irs.gov to determine who you can claim as a dependent and how much you can deduct for each exemption you claim. The ITA tool is a tax law resource on the IRS website that takes you through a series of questions and provides you with responses to tax law questions.

Link: IRS Publication 501, Exemptions, Standard Deduction, and Filing Information

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Electronic Federal Tax Deposits Mandated

Wednesday, May 25th, 2011

EFTPS Deposits MandatedIRS AnnouncementNew Regulations Expand the Use of Electronic Payment System and Discontinue Paper Coupons in 2011

Are you making all of your federal tax deposits electronically?  Do you make your own federal tax deposits?  What about your corporate tax payment(s)?  Have you ever wanted to check your federal tax payment history for an audit?

The new IRS regulations (T.D. 9507) eliminates making federal tax deposits by paper coupon because the paper coupon system will no longer be maintained by the Treasury Department.  The new regulations generally maintain existing rules for depositing federal taxes through the Electronic Federal Tax Payment System.  Information on EFTPS, including how to enroll, can be found at the EFTPS website or by calling EFTPS Customer Service at 1-800-555-4477.

What is EFTPS and why should you enroll on the EFTPS website?
EFTPS is a service offered FREE by the U.S. Department of the Treasury to pay federal taxes electronically.  All federal taxes can be paid using EFTPS and you can make your payments via the website or a voice response system 24 hours a day, 7 days a week.  The system is more secure, reliable and accurate than the old coupon system and payments may be scheduled up to 120 days in advance for businesses and 365 days in advance individuals.

EFTPS will also display all electronic payments made online, by phone, or by a third party within the last sixteen months. This information can be viewed, printed, or even downloaded in files as comma-delimited format for use in other programs, such as Microsoft Excel.

Doesn’t my financial institution make my payment electronically for me?
You should ask your financial institution if it makes ACH Credit payments – not all do – and ask about fees and deadlines associated with this service.

Which taxes will be required to be paid electronically?
Any tax you previously paid with an IRS Form 8109/Form 8109-B coupon.

What if I don’t pay my business taxes electronically?
Businesses with an electronic deposit requirement must make those deposits electronically or face the potential of a 10% penalty for incorrect payment method.

For more information please log on to www.eftps.gov or contact Payroll Control Systems.

Submitted By:

The Payroll Control Systems Tax Team

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Online Scams that Impersonate the IRS

Sunday, October 31st, 2010

Online ScamsFS-2010-9, January 2010

WASHINGTON — Consumers should protect themselves against online identity theft and other scams that increase during and linger after the filing season. Such scams may appropriate the name, logo or other appurtenances of the IRS or U.S. Department of the Treasury to mislead taxpayers into believing that the scam is legitimate.

Scams involving the impersonation of the IRS usually take the form of e-mails, tweets or other online messages to consumers. Scammers may also use phones and faxes to reach intended victims. Some scammers set up phony Web sites.

The IRS and E-mail

Generally, the IRS does not send unsolicited e-mails to taxpayers. Further, the IRS does not discuss tax account information with taxpayers via e-mail or use e-mail to solicit sensitive financial and personal information from taxpayers. The IRS does not request financial account security information, such as PIN numbers, from taxpayers.

Object of Scams

Most scams impersonating the IRS are identity theft schemes. In this type of scam, the scammer poses as a legitimate institution to trick consumers into revealing personal and financial information — such as passwords and Social Security, PIN, bank account and credit card numbers — that can be used to gain access to and steal their bank, credit card or other financial accounts. Attempted identity theft scams that take place via e-mail are known as phishing. Other scams may try to persuade a victim to advance sums of money in the hope of realizing a larger gain. These are known as advance fee scams.

Who Is Targeted

Anyone with a computer, phone or fax machine could receive a scam message or unknowingly visit a phony or misleading Web site. Individuals, businesses, educators, charities and others have been targeted by e-mails that claim to come from the IRS or Treasury Department. Scam e-mails are generally sent out in bulk, based on e-mail addresses (urls), similar to spam.

How an Identity Theft Scam Works

Most of the scams that impersonate the IRS are identity theft scams. Typically, a consumer will receive an e-mail that claims to come from the IRS or Treasury Department. The message will contain an enticing or intimidating subject line, such as tax refund, inherited funds or IRS notice. Usually, the message will state that the recipient needs to provide the IRS with information to obtain the refund or avoid some penalty. The message will instruct the consumer to open an attachment or click on a link in the e-mail. This may lead to an official-looking form to be filled out online or send the taxpayer to a seemingly genuine but bogus IRS Web site. The look-alike site will then contain a phony but genuine-looking online form or interactive application that requires the personal and financial information the scammer can use to commit identity theft.

Alternatively, the clicked link may secretly download malware to the consumer’s computer. Malware is malicious code that can take over the computer’s hard drive, giving the scammer remote access to the computer, or it could look for passwords and other information and send them to the scammer.

Phony Web or Commercial Sites

In many IRS-impersonation scams, the scammer sends the consumer to a phony Web site that mimics the appearance of the genuine IRS Web site, IRS.gov. This allows the scammer to steer victims to phony interactive forms or applications that appear genuine but require the targeted victim to enter personal and financial information that will be used to commit identity theft.

The official Web site for the Internal Revenue Service is IRS.gov, and all IRS.gov Web page addresses begin with http://www.irs.gov/.

In addition to Web sites established by scammers, there are commercial Internet sites that often resemble the authentic IRS site or contain some form of the IRS name in the address but end with a .com, .net, .org or other designation instead of .gov. These sites have no connection to the IRS. Consumers may unknowingly visit these sites when searching the Internet to retrieve tax forms, publications and other information from the IRS.

Frequent or Recent Scams

There are a number of scams that impersonate the IRS. Some of them appear with great frequency, particularly during and right after filing season, and recur annually. Others are new.

  • Refund Scam — This is the most frequent IRS-impersonation scam seen by the IRS. In this phishing scam, a bogus e-mail claiming to come from the IRS tells the consumer that he or she is eligible to receive a tax refund for a specified amount. It may use the phrase “last annual calculations of your fiscal activity.” To claim the tax refund, the consumer must open an attachment or click on a link contained in the e-mail to access and complete a claim form. The form requires the entry of personal and financial information. Several variations on the refund scam have claimed to come from the Exempt Organizations area of the IRS or the name and signature of a genuine or made-up IRS executive. In reality, taxpayers do not complete a special form to obtain their federal tax refund — refunds are triggered by the tax return they submitted to the IRS.
  • Lottery winnings or cash consignment — These advance fee scam e-mails claim to come from the Treasury Department to notify recipients that they’ll receive millions of dollars in recovered funds or lottery winnings or cash consignment if they provide certain personal information, including phone numbers, via return e-mail. The e-mail may be just the first step in a multi-step scheme, in which the victim is later contacted by telephone or further e-mail and instructed to deposit taxes on the funds or winnings before they can receive any of it. Alternatively, they may be sent a phony check of the funds or winnings and told to deposit it but pay 10 percent in taxes or fees. Thinking that the check must have cleared the bank and is genuine, some people comply. However, the scammers, not the Treasury Department, will get the taxes or fees. In reality, the Treasury Department does not become involved in notification of inheritances or lottery or other winnings.
  • Beneficial Owner Form — This fax-based phishing scam, which generally targets foreign nationals, recurs periodically. It’s based on a genuine IRS form, the W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding. The scammer, though, invents his or her own number and name for the form. The scammer modifies the form to request passport numbers, information that is often used for account security purposes (such as mother’s maiden name) and similar detailed personal and financial information, and states that the recipient may have to pay additional tax if he or she fails to immediately fax back the completed form. In reality, the real W-8BEN is completed by banks, not individuals.

Other Known Scams

The contents of other IRS-impersonation scams vary but may claim that the recipient will be paid for participating in an online survey or is under investigation or audit. Some scam e-mails have referenced Recovery-related tax provisions, such as Making Work Pay, or solicited for charitable donations to victims of natural disasters. Taxpayers should beware of an e-mail scam that references under-reported income and the recipient’s “tax statement,” since clicking on a link or opening an attachment is known to download malware onto the recipient’s computer.

How to Spot a Scam

Many e-mail scams are fairly sophisticated and hard to detect. However, there are signs to watch for, such as an e-mail that:

  • Requests detailed or an unusual amount of personal and/or financial information, such as name, SSN, bank or credit card account numbers or security-related information, such as mother’s maiden name, either in the e-mail itself or on another site to which a link in the e-mail sends the recipient.
  • Dangles bait to get the recipient to respond to the e-mail, such as mentioning a tax refund or offering to pay the recipient to participate in an IRS survey.
  • Threatens a consequence for not responding to the e-mail, such as additional taxes or blocking access to the recipient’s funds.
  • Gets the Internal Revenue Service or other federal agency names wrong.
  • Uses incorrect grammar or odd phrasing (many of the e-mail scams originate overseas and are written by non-native English speakers).
  • Uses a really long address in any link contained in the e-mail message or one that does not start with the actual IRS Web site address (http://www.irs.gov). The actual link’s address, or url, is revealed by moving the mouse over the link included in the text of the e-mail.

What to Do

Taxpayers who receive a suspicious e-mail claiming to come from the IRS should take the following steps:

  • Avoid opening any attachments to the e-mail, in case they contain malicious code that will infect your computer.
  • Avoid clicking on any links, for the same reason. Alternatively, the links may connect to a phony IRS Web site that appears authentic and then prompts for personal identifiers, bank or credit card account numbers or PINs.
  • Visit the IRS Web site, www.irs.gov, to use the “Where’s My Refund?” interactive tool to determine if they are really getting a refund, rather than responding to the e-mail message.
  • Forward the suspicious e-mail or url address to the IRS mailbox phishing@irs.gov, then delete the e-mail from their inbox.

Consumers who believe they are or may be victims of identity theft or other scams may visit the U.S. Federal Trade Commission’s Web site for identity theft, www.OnGuardOnline.gov, for guidance in what to do. The IRS is one of the sponsors of this site.

More information on IRS-impersonation scams, identity theft and suspicious e-mail is available on IRS.gov.

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney, CPA or HR Professional.

Employee vs. Independent Contractor – Tips for Business Owners

Monday, August 30th, 2010

Employee SpotlightThe misclassification of independent contractors isn’t a problem just during tax season, as state unemployment compensation and workers’ compensation offices increasingly are acting year-round as “the eyes and ears” of the Internal Revenue Service (IRS), (according to Ronald E. Wainrib, president of Ronald E. Wainrib & Associates in Franklin, Mass.) The phrase “1099 workers” is a shorthand reference to independent contractors, and refers to a federal tax form (Form 1099-MISC, rather than the W-2) used by employers to report payments to independent contractors.

Many companies have fallen into the most common time for misclassifications – which occurs when an employee leaves a position on good terms and then fills in on a temporary basis as an “independent contractor” for a month or two while the employer searches for a replacement. The worker often ends up doing exactly what the person did as an employee. One month turns into two, then four, and before long the employer is not working as hard to fill the position. The question then arises whether the person is classified properly.

Patterns can be difficult to change, but it is up to the employer to communicate and act clearly if they want to make someone an independent contractor who in the past was an employee. That person no longer should be:

  1. Attending team meetings
  2. Be going into an office regularly
  3. Be expected to work certain hours

Also, the individual:

  1. Shouldn’t have company business cards
  2. Shouldn’t be referred to as an employee

The IRS views a status that switches from Employee to Contractor or Contractor to Employee to both be red flags for tax fraud, and possible FLSA violations. Either way, an IRS and/or FLSA audit may be triggered, resulting in additional tax and penalties – not to mention the inconvenience of your business interruption to facilitate the audit and address the issues. Penalties for one misclassification may be thousands of dollars depending on the length of time and the amount of pay.

As a small business owner you may hire people as independent contractors or as employees. There are rules that will help you determine how to classify the people you hire. This will affect how much you pay in taxes, whether you need to withhold from your workers paychecks and what tax documents you need to file.

Here are seven things every business owner should know about hiring people as independent contractors versus hiring them as employees. (From IRS Summertime Tax Tip 2010-20)

  1. The IRS uses three characteristics to determine the relationship between businesses and workers:
  2. - Behavioral Control covers facts that show whether the business has a right to direct or control how the work is done through instructions, training or other means.
    - Financial Control covers facts that show whether the business has a right to direct or control the financial and business aspects of the worker’s job.
    - Type of Relationship factor relates to how the workers and the business owner perceive their relationship.

  3. If you have the right to control or direct not only what is to be done, but also how it is to be done, then your workers are most likely employees.
  4. If you can direct or control only the result of the work done — and not the means and methods of accomplishing the result — then your workers are probably independent contractors.
  5. Employers who misclassify workers as independent contractors can end up with substantial tax bills. Additionally, they can face penalties for failing to pay employment taxes and for failing to file required tax forms.
  6. Workers can avoid higher tax bills and lost benefits if they know their proper status.
  7. Both employers and workers can ask the IRS to make a determination on whether a specific individual is an independent contractor or an employee by filing a Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding, with the IRS.
  8. You can learn more about the critical determination of a worker’s status as an Independent Contractor or Employee at IRS.gov by selecting the Small Business link. Additional resources include IRS Publication 15-A, Employer’s Supplemental Tax Guide, Publication 1779, Independent Contractor or Employee, and Publication 1976, Do You Qualify for Relief under Section 530? These publications and Form SS-8 are available on the IRS website or by calling the IRS at 800-829-3676 (800-TAX-FORM).

Links:

Publication 15-A, Employer’s Supplemental Tax Guide (PDF)
Publication 1779, Independent Contractor or Employee (PDF)
Publication 1976, Do You Qualify for Relief under Section 530? (PDF)
Form SS-8, Determination of Worker Status for Purposes of Federal Employment Taxes and Income Tax Withholding (PDF)
Submitted By:

Jean Austin, SPHR
Manager of HR Services
Payroll Control Systems
Office: 763-746-1942
Cell: 612-770-6187
jaustin@pcspayroll.com
www.pcspayroll.com

Legal Disclaimer: This article is intended for informational purposes only and by no means should replace or substitute other legal documents (governmental or non-governmental) reflecting similar content or advice. If you have any questions concerning your situation or the information provided, please consult with an attorney or an HR Professional.