Employee Versus Independent Contractor

In Brief

Classifying a worker as an employee or an independent contractor has a significant effect on the cost of employing that individual. For this reason, the IRS and Department of Labor pay close attention to worker classification issues to ensure that employers are making the right determinations. The authors detail the relevant regulatory guidance and case law, the possible penalties for offenders, and the tests used to determine whether a classification is correct.

The original article, "Employee Versus Independent Contractor," first appeared in The CPA Journal in February 2019.