I've been doing quite a bit of research on this lately, so I thought I'd share a bit of what I've learned so far!! Keep your eyes peeled for more info in the future!

http://photolovecat.blogspot.com/2007/08/h...ontractors.html

Thanks Anne, that turned out great.

Thanks for sharing!

Thanks to Nate for helping me on this topic!! ;-)

Anne, we could use some help with the forms. We currently pay our office workers in cacao beans. I don't think the IRS really cares because they're on a guest worker program.



They sing and dance for us, but it gets annoying when they start lecturing us on using the clone brush on the background layer:

"OOMPA LOOMPA DOOMPADEE DOO
I'VE GOT A PERFECT PUZZLE FOR YOU
OOMPA LOOMPA, DOOMPADAH DEE
IF YOU ARE WISE YOU'LL LISTEN ME

WHAT DO YOU GET WHEN YOU CLONE OUT FAT
PRINTING 4x6S IN GLOSSY AND MATTE..."

Yes, thank you for sharing. I do have a few questions though. Can the ss # be used as the tax id # or do they need to apply for a tax id #? Also, at what point is this person your employee as apposed to an indapendant contractor. Where is the line drawn. I do not have any employees at the time, but have been thinking about having an assistant to do these sorts of things, edit etc....so I am just curious.

The SS# is the tax id# for most legal citizens- which is explained on the actual forms. Also, when you click on the links I provided for the words "employee" and "independent contractor", you'll see the official IRS definition of the seperation. However, even that may feel a bit vague, so here's another link to help you draw the line between an employee and an independent contractor....

http://www.bankrate.com/brm/news/biz/Tax/19990701.asp

If you have a unique situation, it's definitely best to ask for clarification from your local CPA. Mine has been amazing with providing free advice!!

Oh no you dint!! My bill is in the mail

Thanks Anne! Very timely for me!

HA - I meant the CPA who actually has a current license. ;-) I've been throwing her "stumpers" for the last two weeks and she's been great! She's probably beginning to rethink her notion of charging based on the form and switching to a time-based fee!!