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Tip Mar 2010 - "IRS Launches Crackdown on Use of Contractor Workers"

Tip Mar 2010 - "IRS Launches Crackdown on Use of Contractor Workers"

Tip Mar 2010 - "IRS Launches Crackdown on Use of Contractor Workers"

Excerpt


IRS Launches Crackdown on Use of Contractor Workers 



President Obama's budget for 2011 will bring yet more scrutiny of businesses that use independent contractors to minimize labor costs. This year the IRS will audit 2,000 companies for compliance. If the 2011 budget is approved, the Internal Revenue Service will get the green light to add 100 more enforcement officers over a three-year time period. According to White House projections, Federal coffers will gain $7 billion over a 10-year span as IRS auditors crack down on companies that have misclassified employees as independent contractors and collect employment taxes and penalties from the businesses involved. 




 



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