Employer’s Supplemental Tax Guide – U.S. Internal Revenue Service Publication 15-A (2010)

Employer’s Supplemental Tax Guide – U.S. Internal Revenue Service Publication 15-A (2010), U.S. Department of the Treasury, Internal Revenue Service.

Discusses (at pages 3 through 10) the rules governing whether a worker must be treated as an employee (for whom tax withholding and reporting requirements apply) or may be treated as an independent contractor (to whom you simply deliver a Form 1099 at year end, without any tax withholding).

Note: Page 5 of this Publication 15-A states the general rule that certain “companion sitters” – “individuals who furnish personal attendance, companionship, or household care services to children or to individuals who are elderly or disabled” — who are not employed by an agency, are “generally treated as self-employed for all federal tax purposes. This means that a qualifying “companion sitter” may be treated as an independent contractor. Consult your tax advisor to determine whether you qualify to treat any private duty attendants you hire to help care for your aging loved one as “independent contractors” under this IRS rule.

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