Dynamex Causing Incorrect W-2 Classifications for Independent Contractors

The California Supreme Court made an important ruling in the Dynamex case.

The court’s decision means that you could inadvertently improperly reclassify your independent contractors and make them suffer needlessly.

The Dynamex decision and subsequent new California law causes trouble not only in California but throughout the country.

If you have independent contractors or you operate as an independent contractor, be aware.

Don’t miss my new article titled Tax Tips: Dynamex Causing Incorrect W-2 Classifications for Independent Contractors.

Three ways our fact-filled article can help you:

1. We’ll explain the right way to proceed. It’s extremely important to treat your independent contractors as independent contractors if that’s what they are. If you make them employees, you make them suffer because employees may not deduct their employee business expenses. You’ll get all the details when you read the full article.
2. We’ll tell you how to protect contractor status should you be misclassified as an employee (and this is now more likely than ever). A contractor improperly classified as an employee can use an IRS approved method to report the W-2 income and related business expenses as a proprietor on Schedule C and thus enable deductions for all business expenses. You’ll get the whole story when you read the full article.
3. We’ll tell you about an important step you can take. You can amend your payroll so you’re treating your independent contractors properly. If the IRS gets snippy, don’t fold. You’re in the right as we’ll explain when you read the full article.