jumbo <usenet[at]financialfora.com> writes:

- quote -

How did you "become" self-employed? Exactly what changed
when that happened (i.e. whose equipment did you use to do
the work, what kind of supervision were you under, etc.,
etc)? And did you work for any company other than ABC?
Just because you (and even ABC) call yourself self-employed
doesn't mean you are. Employee vs. independent contractor
is a facts and circumstances thing, not a "here's what I
call myself" or a "here's what my boss calls me" thing.

Here's the IRS's (long!) training materials on the matter:
http://www.irs.gov/pub/irs-utl/emporind.pdf

For something a lot shorter, see
http://www.taxprophet.com/apps/active2/indep-mm.html
which has the so-called "20 question/factor test"

So go through it and see if you were really self-employed at
all, before wondering what to do about getting a W-2 vs. a
1099-MISC, as it may turn out you were really an employee
all along, regardless of what you want to call yourself.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

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jumbo <usenet[at]financialfora.com> writes:

- quote -

Only because you don't have a clue what the law is.

Employee vs. independent contractor is not dealer's choice.
It's a question of facts and circumstances. Clearly the
payor regards you as an employee, which fits with the
withholding of taxes. Payors don't withhold anything from
independent contractors, who are responsible for making
estimated tax payments.

It is possible to structure a working relationship as
either, but it has to be done on more than flipping a coin.
See IRS Form SS-8 for the common law tests that determine
which it is.

Phil Marti
Topeka, KS

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I was employeed full time with company ABC for the first 3
months of Year 2003 and the then became self-empolyeed for 8
months. I was working as a Independent Contractor for the
same company ABC. I asked the company to withhold my
Federal, State, SS and Medicare taxes. They did this and
then at the end of the year they gave me a W-2 instead of a
1099-MISC.

This is a very complex case (I think). I am not sure if I
should file as a self-employeed since I was self-employeed
and paying for my health insurance premium and other
expenses. OR, do I file as a regular employee since I have a
W-2.

If I file as a regular employee, then I cannot deduct my
expenses such as health insurance premiums, travel, meals,
car, computer, etc.

Has anyone been in the same boat as me. Looking for "bright"
ideas.

Thanks

Jumbo.

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