Question

Jim owns a bakery and is concerned about paying employment taxes for the independent contractors he...

Jim owns a bakery and is concerned about paying employment taxes for the independent contractors he may add to his business. Explain how employment taxes are paid for independent contractors (i.e. self-employed individuals). Why would Jim prefer to have the workers classified as independent contractors and not as his employees?

Homework Answers

Answer #1

inIn general Jim must withhold the employment tax

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