their tax return (it is usally their parents address) for their W-4
and I-9 because they are always moving like you said.
I have seen owners claiming the cash paid as a draw or pay to
themselves - but what if the employee gets hurt or you owe them money
and they report them? I always point this out to the owner and hope
that they change their ways or move on.
If you are classifying them as sub-contractors make sure they have
proof of being in business because in the event of an audit they will
be reclassified as employees. And she will blame you for bad advice.
Good luck, this reason and illegal workers is why I stay away from
that industry, hospitality, lawn care, and cleaning industries.
Please let us know what happens.
--- In taxchat@yahoogroups.com, "Cris Kelly" <ckelship@...> wrote:
>
> I have a client that owns a catering business. She calls the local
junior
> college and they send students over to her to help out at events.
Most of
> the time the person is only used once and then she never sees them
again.
> Her contact at the JC told her to pay them cash and not worry about
putting
> them on payroll.
>
>
>
> I would like her to be able to count them as temp labor and reco
them as
> subcontracts. The students go out and do work for other caters /
> restaurants also. If we do have to set them up as EEs chances are
they
> would never receive their W-2 because they will probably give her
their
> school address which usually changes every year or so.
>
>
>
> Thanks for the input.
>
>
>
>
>
> Cris
>
>
>
>
>
>
>
>
> No virus found in this outgoing message.
> Checked by AVG.
> Version: 7.5.549 / Virus Database: 270.9.10/1810 - Release Date:
11/24/2008
> 2:36 PM
>
------------------------------------
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