Recently the Wisconsin Department of Workforce Development posted the following statement concerning independent contractors:
The integrity of the Trust Fund is important to the Department. A key to maintaining that integrity is ensuring all employers properly classify employees, report wages and pay their unemployment tax contributions as well as other state and federal employment taxes when due. While the vast majority of Wisconsin employers meet their obligations under the law, those that illegally misclassify their workers as independent contractors, or pay them ” off the books”, are intentionally breaking the law to gain an unfair competitive advantage. Their actions hurt honest employers, workers, and communities across Wisconsin. Governor Evers’ new Joint Task Force on Payroll Fraud and Worker Misclassification will address the problems created by employers who misclassify workers as independent contractors through better agency coordination, providing more tools and strategies to increase already effective outreach and enforcement efforts, By combatting this problem with the strategic use of resources, we will continue to level the playing field for employers in Wisconsin, and maintain the health and integrity of the Trust Fund.
If you have questions if you are following proper practices when classifying workforce members as employees or independent contractors contact Tax Management and Financial Horizons for a complimentary consultation. We can be reached at 262 923-8100 or by email at info@taxmanagement.com.
Check out our website at managedtaxes.com for more information about our firm.