Independent contractor?

Independent contractor? Topic: Independent contractor?
June 16, 2019 / By Baily
Question: I am planning to be an independent contractor in assisting client company's internal audit process (a.k.a. SOX). I am being paid at a fixed hourly rate, but I have total control of deliverbles, etc. Do I need to obtain special business licenese from government to file taxes as Self-Employeed indendent contractor?
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Best Answers: Independent contractor?

Adamina Adamina | 2 days ago
You generally do not need a business license in order to file as an independent contractor. You will receive a 1099 from the company where you perform the contracting and this information is entered on your tax forms. more details on independent contractors from the IRS- see link
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Adamina Originally Answered: Independent contractor?
This is just a term used for an employee that they don't have to list as such. Limo drivers are considered independent contractors, the company does not have to withhold taxes and it makes for easier bookkeeping. If I were you, tell them no contract, no work. This is to protect yourself. They could stiff you when the work is complete by saying they weren't happy with your performance.
Adamina Originally Answered: Independent contractor?
Independent contractors operate a little different than normal wage earners. The company is doing to you what you would say hire a construction worker to fix your deck or paint your house. They should issue you a 1099 but still keep close track of your payments as you are still liable for the tax even if you don't receive one. As an independent contractor you will report your income on Schedule C which will give you greater latitude for your job related expenses than normal 1040 wage earners, who's un-reimbursed expenses go on Schedule A. Also keep in mind that if you earn more than $400 you will have to pay Self Employment tax which is your Social Security and Medicare obligations. I hope that helped.
Adamina Originally Answered: Independent contractor?
hiring an independent music contractor for a band member what would be the agreement contract used? Booked contracted performances scheduled to complete and to avoid a musician from walking out leaving mgmt. in a problem of rehiring...is there a safety net for the hirer?

Tahath Tahath
No. You just report your income and expenses on 1040 long form, Schedule C. Get tax preparation help with that if you want to maximise your tax savings and avoid errors that would trigger an audit. The water can get murky.
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Tahath Originally Answered: Independent contractor agreement How Much?
I don't think you need a lawyer. I signed a contract as an IC tonight that was well-written, and when I asked the guy where he got it he said he found it online. Try doing a net search for "independent contractor contract" or encorporate "boilerplate contract" in your search.
Tahath Originally Answered: Independent contractor agreement How Much?
With all due respect, I don't understand the question. Why would you need an independent contractor agreement? Here's how I understand it: 1. To be an Independent Contractor the best thing would be to obtain a business license. It could simply be that of a sole proprietor. In other words, you don't have to to become a corporation. This makes you a business entity when working and not "an employee." 2. You have to have several clients you perform work for. 3. You have to use all of your own equipment. For eg: Perform the work at your location and take it to your client and have them write you a check for a pre-agreed upon amount of money. 4. You have to be able to come and go as you please. 5. You cannot be paid by the hour. Having said all the the above, and even if you do all of the above, the IRS still has the last word as to whether someone is an independent contractor or not. However, if you can keep good records and prove that you have many clients, and not just one, it is more beneficial.

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