Things You Should Know About the Form 1099

Overview

Highlights

Staffing firms using independent contractors face misclassification liability, which could expose their clients to undue risks. Some staffing firms refer only employees who receive the Form W-2 to their clients; some send only independent contractors who receive the Form 1099. There are, however, staffing firms that send misclassified common law employees to their clients but pay them as if they were independent contractors. That creates substantial exposure for misclassification liability for the staffing companies and their clients—exposure that can be minimized or eliminated.

Do you know who qualifies as an independent contractor? How do you determine the correct classification for a worker? Are there differences in how state administrative bodies and federal agencies view independent contractors? What are the consequences of incorrect worker classification? Attorney Marc D. Freedman will explain it to you.

During this webinar, attendees will learn

• What the Form 1099 is
• How the U.S. Internal Revenue Service uses the 20-factor “common law” test to determine if a worker should be classified as an employee or an independent contractor
• What different criteria are used by the IRS, U.S. Department of Labor, and workers’ compensation boards to determine whether a worker is an employee or an independent contractor
• How to set up “corp to corp” arrangements
• Reasons employers and employees want 1099 status

Presenter

Marc D. Freedman, Esq., partner, Freedman & Friedland LLC