Surgent’s Employee vs. Independent Contractor: Achieving Success in a Worker Classification Audit

Description

The IRS believes, perhaps with some justification, that many workers classified as independent contractors are actually employees and should be treated as such for tax purposes. The result is that worker classification audits are frequent and often costly for business clients, both in terms of time as well as money expended. This program prepares accounting and finance professionals to assist their clients with worker classification audits, and to avoid them if possible, by discussing and explaining the circumstances under which workers will most likely be characterized as employees or as independent contractors. The program also deals with the first line of defense against the IRS in worker classification audits — Section 530, as well as the common law factors distinguishing an employee from an independent contractor. This program also explores the IRS Voluntary Classification Settlement Program and discusses whether a practitioner should advise a client to request admission into this program.

Objective

Advise clients with respect to the risks associated with their treating workers as independent contractors rather than employees Understand how to employ Section 530 for purposes of defending against an IRS allegation that one or more workers are employees and not independent contractors

Advanced Preparation

None

Required Knowledge

Knowledge of basic individual income tax principles

Who Should Attend

Accounting and finance professionals who wish to help their clients avoid having independent contractors reclassified by the IRS as employees and accounting and finance professionals whose clients currently use independent contractors rather than employee

Credit Types

CPE – Taxes