Independent Contractor Status: Hearing Before the Committee on Small Business, House of Representatives, One Hundred Fourth Congress, First Session, Washington, DC, January 19, 1995, Volume 4U.S. Government Printing Office, 1995 - 148 pages Distributed to some depository libraries in microfiche. |
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Common terms and phrases
Association benefits billion BSCAI Building Service Contractors Chairwoman MEYERS Chris Shays clarify classification of workers classifying workers common law test companies comply Congress construction industry contract Coopers & Lybrand cost current law definition of independent determine direct selling Don Owen drywall due to Misclassification employees as independent employment tax laws Enrolled Agents Federal Tax Revenues firm HD Vest hearing hiring income tax independent contractor status individuals industry practice Internal Revenue Service IRS audit January 19 labor legislation legitimate Loss in Federal Madam Chairman misclassification of employees Misclassification of Workers misclassified compensation misclassified workers misclassify their workers NASE number of misclassified payroll tax percent prior audit private letter rulings problem Projection reclassified result Ronald Baker safe harbor sector self-employed persons small business owner Social Security subcontractors Tax Revenues due taxpayers testimony Thank WILLETT worker classification workers as employees workers as independent
Popular passages
Page 132 - Generally the relationship of employer and employee exists when the person for whom services are performed has the right to control and direct the Individual who performs the services, not only as to the result to be accomplished by the work but also as to the details and means by which that result Is accomplished.
Page 133 - In general, if an individual is subject to the control or direction of another merely as to the result to be accomplished by the work and not as to the means and Internal Revenue Service, Treasury methods for accomplishing the result, he is an independent contractor.
Page 132 - ... (2) Generally such relationship exists when the person for whom services are performed has the right to control and direct the individual who performs the services, not only as to the result to be accomplished by the work but also as to the details and means by which that result is accomplished. That is, an employee is subject to the will and control of the employer not only as to what shall be done but how it shall be done. In this connection, it is not necessary that the employer actually direct...
Page 55 - We do our workers no favor if we rob them, through misclassif ication as independent contractors, of worker's compensation, unemployment insurance, disability insurance, protection under the Fair Labor Standards Act, the Occupational Safety and Health Act, the American with Disabilities Act, the Family Leave and Medical Act of 1993 and protection through the Equal Employment Opportunity Commission which have been erected by the federal and state government over the past half century.
Page 52 - IRS is rtinninfinfl in the context of classifying workers as "employees" or "independent contractors." In the building services industry/ we refer to this issue as the "illegal subcontracting" problem, while the terminology is somewhat different, the issue is the How Companies In Our Industry Do Business.
Page 117 - With over 50 years of experience, NARI is committed to enhancing the professionalism of the remodeling industry and serving as an ally to homeowners. NARI is dedicated to the growth and betterment of the remodeling industry and...
Page 104 - Medicare quarters of coverage, the Fair Labor Standards Act, the Occupational Safety and Health Act, the Americans with Disabilities Act, the Family Medical Leave Act, and employment discrimination laws administered through the Equal Employment Opportunity Commission). 8 4. Misclassification of workers coupled with abuse of the §530 "safe harbors" results in inequitable application of the employment tax laws which places law abiding companies "at a great competitive disadvantage.
Page 68 - employers" of independent contractors are also able to avoid other statutory obligations imposed on employers, such as unemployment compensation benefits, overtime, and regulations imposed by the Occupational Safety and Health Administration and Employee Retirement Income Security Act. Under the Administration's health reform plan and a number of other proposals, an additional incentive to treat workers as independent contractors would be the health care premium collected to finance the plan. In...
Page 139 - NFIB is the nation's largest small business advocacy organization, representing over 600,000 small business owners from all fifty states. The typical NFIB member has five employees and has $250,000 a year in gross annual sales.
Page 63 - Lybrand to analyze and report on the effect that worker misclassification has on federal tax revenues. This report uses information from the Internal Revenue Service (IRS) and the US Bureau of Labor Statistics (BLS) in an attempt to quantify the extent of employee misclassification and the corresponding lost federal revenues under present law. Trends in misclassified workers, and in self-employed workers are also presented. Revenue estimates for two proposals are provided: (1) repeal of Internal...