For tax purposes, what is the significance of the classification of a taxpayer as an employee...
Question:
For tax purposes, what is the significance of the classification of a taxpayer as an employee versus a self-employed independent contractor?
Tax Liability
Tax liability shows any amount that an individual, an entity, or other business owes to their government for a specific assessment year according to stated rules by the government.
Answer and Explanation: 1
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View this answerThe key reason and relevance of classifying the taxpayer as an employee or IC (independent contractor) (self-employed) is that the worker's status...
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Income Tax: Tax Liability & Deductions
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Chapter 3 / Lesson 5
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Learn what income tax liability is. Find out what taxable and adjusted gross income are, discover how to calculate tax liability, and examine common deductions.
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