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In recent years, the Internal Revenue Service (IRS) has made a big push to get employers to properly classify employees—they’ve stepped up their audits of organizations who may have improperly classified workers as independent contractors (workers who should have been classified as employees all along).
Is your company considering reclassifying certain workers from now on, but hesitant because it is worried about triggering a federal employment tax audit or having not consistently filed Forms 1099 for those workers in the past? If you answered “yes,” then the IRS’ Temporary Expanded Voluntary Classification Settlement Program may interest you, but you must […]
In a recent move to encourage employers to correct past misclassification of workers, the IRS has established a voluntary compliance program, called the Voluntary Classification Settlement Program, or VCSP. The program permits employers to voluntarily reclassify their workers as employees for future tax periods with minimal tax liability for past non-employee treatment. To participate, an […]