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Payroll Taxes?????

Discussion in 'Business Operations' started by RyanCanMow, Oct 29, 2002.

  1. bubble boy

    bubble boy LawnSite Bronze Member
    Posts: 1,020

    not legal here, employers must do deductions
     
  2. smburgess

    smburgess LawnSite Senior Member
    Posts: 469

    Lasher....

    ILLEGAL, without question.
     
  3. Lease the equipment to worker and pay him a precentage of the job. Then along with a independent contractors agreement you have a sub contractor. Works for me.
     
  4. bubble boy

    bubble boy LawnSite Bronze Member
    Posts: 1,020

    still illigal here
     
  5. Harvestman

    Harvestman LawnSite Member
    Posts: 233

    Lasher. Illegal in Ohio also
     
  6. CMerLand

    CMerLand LawnSite Senior Member
    Posts: 393

    Its called 1099-ing and is totaly illegal. 1099 are used for sub-contractors and there is a very specific list of rules that must apply for one to be considered a sub. If youre found in violation, you are then responsible for all the employees back taxes, payroll taxes a huge fine etc etc etc. Oh yea and they can back a few years too. Only takes one disgruntled employee to go to the labor board after they get their taxes done and they aint got the money to pay them.

    Do a search on 1099s or subcontractors and youll see some good past threads on the subject.
     
  7. lasher66

    lasher66 LawnSite Senior Member
    Posts: 395

    thanks, then I wont even try it. I know another LCO that says that it is ok, but I will have to let him know. Thanks

    Lasher
     
  8. That is the smart thing to do. Be fair though and let the LCO know that you got your legal advice from a bunch of grass cutters on the internet. It might make a difference in how long he laughes.
     
  9. therainman

    therainman LawnSite Member
    from IL
    Posts: 196

    I use a payroll service they take care of all taxes AND INSURANCE, best thinh I have ever done. I simply send them via fax, copies of the time sheets for each emp. on Wed., Fri morning the doorbell rings and the paychecks are in my wifes hand.
    Another thing to look at...... These people do not work for me, they work for the service, my wife included. This means I can lay her off next week and she will draw unemployment all winter. Not on me, on the service. Greatest thing ever. I am now getting back a little from uncle sam.... Lower tax, not self employment rate, she does not work for me!!!!

    My new salary is almost $0.00
    hers just went up another $12,000 per year

    Just got a check from my insurance co. 700 in cancelled insurance that the service is paying now...

    They pay for all advertisements for new emp.
    They pre screen all perspective emp. before I ever get the app.

    once again I will say best thing i have ever done.:D
     
  10. dmk395

    dmk395 LawnSite Senior Member
    from Ma
    Posts: 992

    rainman, is this employee leasing?
     

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