What should you do to collect unemployment if you have been misclassified as an independent contractor?
There are a lot of other questions that could be asked for us to help with your case. Your best course of action is to contact the unemployment office right away. The IRS could take a long time processing your form.
Take a copy of the SS-8 form with you along with any documentation you have to support the declarations you made in the form. They should be able to tell you what the next step is if they cannot make an immediate determination.
Angel607 replied to post #2: 3 Thanks for your reply. When I started working there, my boss said that I would be an independent contractor. My job was administrative assistant.
I worked part-time 20 hours a week, got paid weekly, worked in the office, and my boss gave me direction on what to do. So, I feel that should classify me as an employee. I got a 1099 because he took no taxes from me, so I ended up having to pay at tax time.
4 Years ago the IRS started tightening up on who could claim to be independent contractor. The problem was that taxes were not being withheld and contractors were not paying them. So now they are fussy about who is really independent.
Since for 5 years you were only working at one place it certainly sounds to me that the IRS would consider you to be an employee. I feel there is a good chance the unemployment office would consider you as having been an employee without the IRS determination. At least they will be able to give you better advice than I can.
Your boss wanted to avoid paying unemployment tax and Social Security tax. If the IRS determines you were an employee your boss will be in trouble. Did you pay SS tax to the IRS?
As an employee, half of the SS tax would have been withheld from your pay with the employer paying the other half. If you were paying the full amount you might be due a rebate. Some other people here are employers and could provide you with better info.
Maybe somebody will show up but it could take a while.
If it finds a company guilty of misclassifying its workers, the IRS might require the company to pay all back withholding taxes plus interest, even if the misclassified independent contractors have already paid their taxes. The IRS might also levy huge fines and press criminal charges against the company officials. Once the IRS moves in, it opens the doors for the other agencies to collect their due.
If there's anything left, the misclassified independent contractors might collect, too. Misclassified independent contractors have successfully sued for unemployment insurance, stock options, overtime pay, retirement benefits, profit sharing, disability payments, workers' compensation and more, in so-called "permatemps" and related lawsuits."__________________~ChristinaUnless a source is cited, anything posted here by me is only my opinion, and is not meant as legal advice. 08-19-2008, 04:41 AMllworking llworking is offlineSenior Member Join Date: Oct 2006Posts: 366Default Re: Employees Misclassified as Independent ContractorsWhile the others are not wrong, here is what is most likely to happen:The IRS has ruled that those specific people were employees.
The IRS is going to go after you for the employer's share of the Social Security and Medicare taxes that you should have paid, and probably Unemployment compensation as well. That information will filter down to the state, and you will be required to pay state unemployment compensation also. Its also very possible that the IRS will audit you to determine who else should have been classified an an employee.My recommendation is that you immediately get ALL of your employees set up officially as employees and paid as employees.
You may want to use a payroll service, as their services are very economical, and they take care of pretty much everything for you.
I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.
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