Suppose a worker is classified as an independent contractor under the Common Law Rules. Statutory employees receive both a W2 and a 1099-MISC. There are times that an employee will fall under the category of a statutory employee, which is, for lack of a better term, a status between an employee and an independent contractor. These individuals are self-employed.Ĭoncerning tax forms, a 1099-MISC is typically received by independent contractors statutory employees generally receive a W-2 form instead.
Most individuals who qualify as independent contractors have their own trade, business, or profession. For example, you will likely provide the client with a A person who contracts to perform services for others without having the legal status of an employee is an