independent contractor.
Individuals acting as independent contractors are treated differently than employees for tax and labor law purposes. An independent contractor is a person or business engaged to provide goods or services to another person or business. One who is hired to reach a certain goal or perform a certain task,but who has the ability and the right to determine the methods and times for reaching that goal or task,so long as it is not illegal and is within the limits of the contract.This is an important concept because
Independent contractors who aren’t covered for workers’ compensation. Independent Contractor . The IRS and many state franchise tax boards have adopted common law principles in shared definition of “independent contractor” as a tax entity. The contractor is not an employee and does not enjoy several of the working benefits an employee receives, including worker's compensation benefits and the use of employer equipment. This very important part of the agreement clearly defines the worker as an independent contractor, not an employee. An independent contractor agreement, also known as a ‘1099 agreement‘, is a contract between a client willing to pay for the performance of services by a contractor.In accordance with the Internal Revenue Service (IRS), an independent contractor is not an employee and, therefore, the client will not be responsible for tax withholdings. These agencies require that the worker meet all the criteria of ORS 670.600, in order to be considered an independent contractor. An independent contractor is someone who is working for someone else and who provides services, but who is not an employee. How to use independent in a sentence. independent-contractor definition: Noun (plural independent contractors) 1.
An independent contractor is typically a creative professional or technical person, like a designer, web expert, or IT professional.
A person who contracts to do work for another person according to his or her own processes and methods; the contractor is not subject to another's control except for what is specified in a mutually binding agreement for a specific job. Independent Contractor Definition. Synonym Discussion of independent. To stay out of hot water with the IRS, be sure the workers you classify as independent contractors meet the IRS definition of an independent contractor. A key marker of independent contracting is flexibility to work when and for whom they want. Employment status (worker, employee, self-employed, director or contractor) affects employment rights and employer responsibilities in the workplace Independent Contractor. It lists the rights of the contractor to perform services for others unless they directly conflict with or compete with the work for this company.