All else equal, taxpayers are more likely to be classified as employees rather than independent contractors if they are allowed to determine their own working hours and work without frequent oversight.

Question

Quizplus · Accepted Answer

Allowing taxpayers to determine their own working hours and work without frequent oversight actually supports the classification as an independent contractor, as it suggests a level of independence in the relationship between the worker and the service recipient. Factors such as control and independence, financial risk, and relationship to the employer/client are key in determining whether someone is classified as an employee or an independent contractor.

All Else Equal, Taxpayers Are More Likely to Be Classified