Employee vs. Contractor: How to Tell the Difference and Why It’s Important

IRS reclassification of contractors can be financially devastating to a business, with the business subject to paying back payroll taxes, plus interest and penalties. This webinar will cover how to tell the difference between a contractor and an employee; what the IRS is looking for when auditing this area; the types of relief available; and an overview of the new Form 1099-NEC, which will be used in 2020 and beyond for reporting contract labor pay.

Why You Should Attend:

This webinar will help businesses understand their options when the IRS tries to reclassify independent contractors as employees. This reclassification can be financially devastating to a business. We will cover: how to tell if someone is a contractor or an employee; what happens if the IRS re-classifies a contractor as an employee, and the possible relief available (called “Section 530” relief). We will also discuss the new Form 1099-NEC for reporting contract-labor pay.

Learning Objectives:

• Discuss the three factors the IRS looks at in determining if someone is a contractor or an employee
• Discuss the 20-point “common law” test for determining contractor vs. employee
• Discuss the reporting implications of employee vs. contractor, such as 1099 vs. W-2, payroll taxes, etc
• Discuss what happens if the IRS re-classifies contractors as employees
• Relief under Section 530 for IRS reclassification
• Other relief, including the “Voluntary Reclassification Program

Who Should Attend:

• Business owners
• Managers
• Office managers
• Bookkeepers
• CFOs
• Controllers
• Accountants

Speaker Bio: Jason Dinesen (EA, LPA)  

Jason Dinesen (EA, LPA) is a tax nerd, entrepreneur, tax expert and a well known presenter of continuing education courses. He has an impeccable acumen for tax subjects, by virtue of which, he is known to create very well researched course materials helping individuals and businesses with accounting, bookkeeping, tax preparation, and business advisory in various industries.

Known for his sharp tax interpretations, he is one of the quickest to bring the analysis of the latest tax updates and IRS guidance to the professional community. Jason has coached over 200,000 accounting, tax, and HR professionals on various topics of accounting, individual taxation, corporate taxation, professional ethics and much more.

He has presented over dozens of webinars on Form 1099 (MISC & R); marriage in the tax code; tax updates; the new Form W-4, payroll updates, filing status, tax credit and other issues relating to the modern-day household setting.

Moreover, Jason is known to be producing every other webinar/course a little different and updated from the previous one. No wonder, he is a top ranked presenter whose webinars and self-study course materials are very well received by the audience. 

He also teaches 2 classes at Simpson College, Individual Income Tax and Business Analytics. 

Jason always had a knack for radio shows and has and regularly features as an anchor for Radio Iowa. To reinvent this aptitude, he has recently started his own series of podcasts on myCPE ‘The Jason Show’, an edutainment podcast series that also provides continuing credits to the listeners.

Jason was born and raised in Iowa and has a degree in corporate communications from Simpson College in Indianola. He has a big family that includes his wife, two sons, 5 cats and 3 dogs. Jason holds season tickets to University of Iowa football, and enjoys using his chainsaw. Topmost item in his 2022 bucket list is to learn how to properly ‘nose & taste’ whisky.