What aspect do courts generally focus on when considering if
What aspect do courts generally focus on when considering if an employee is a contractor? a. Who has control over the work process b. How the employer labels the work performed c. Which taxes are covered by the employee, and which by the employer d. What type of work the employee performs
Solution
The correct Option is Option C.
Generally employers distinguish the employees as an employees or contractors. Contractors their own taxes, Medicare taxes, social security taxes etc and employee’s taxes like Medicare and social security taxes etc are paid by the employer. The wage of the employee includes all those taxes. Hence the tax burden increases for the company.
While deciding the employees as a contractor the court sees many things. Examples are ahead. These all are examples of employees.
When company instructs the employees like what to work, where to work, when to work, what to perform by an employee, what tools to be needed to perform certain task etc?
Employees are provided training while contractors are not.
Above mentioned taxes are paid by employers not employees while contractor pay their own taxes.
