Business Owners and Managers:

Do You Make These Dangerous Mistakes When Classifying Workers as Independent Contractors?

• Do you ever control when, where and how your independent contractors perform their work?
• Do you ever treat workers doing similar jobs as both employees and independent contractors?
• Do you ever hire workers as independent contractors without a written contract?

Make the wrong choices in the eyes of IRS, and you could lose your company trying to pay back taxes, penalties and interest! Worse, you can be held personally liable for unpaid taxes, penalties and interest and this liability can never be discharged in bankruptcy!

Here's Just Some of What's in this Must Read Report

• How to make sure your contract workers are not considered employees by IRS. (Page 21)
• The Twenty Common-Law Factor Test… is it still valid? What traditional factors are now considered by IRS. (Page 4)
• How to use a little-known federal loophole to classify workers as independent contractors. (Page 6)
• Critical New Federal Changes… What are the rules and how can they benefit you? (Page 10)
• Key issues you must fully understand before hiring ANY independent contractor. (Page 2)
• How to take advantage of certain workers classifications. (Page 15)
• A bulletproof strategy for dealing with workers that prevents reclassification to employee status. (Page 17)

This Action Guide describes the current tests used to determine a worker's status and explains in detail a little-known federal exception to employee status which is not a part of the tax code or regulations. The Guide is written from a business owner's perspective and provides you with the practical information needed to make an informed decision regarding classification of your workers. It also helps you minimize the risk that IRS or a state agency will reclassify an independent contractor as an employee.


This report contains a sample contract, a memo from an attorney on how to document the independent contractor relationship, and a cover letter to the worker stressing that the worker should not take a position with any government agency inconsistent with their independent contractor status.


The Action Guide is written by Robert L. Sommers, an attorney with more than 25 years experience and the author of The Tax Prophet Website (www.taxprophet.com).


Avoiding the Independent Contractor vs. Employee Quagmire is a must read for small business owners. Order your copy today. It will be sent to you immediately as a PDF file.