RE: employee or contractor?

["Humbird, LenX" <lenx -dot- humbird -at- intel -dot- com>]

It sounds like you're not a contractor. Or at least you're not sure you are.
Those issues you mentioned are relevant, but the answer you give them
depends on whether or not you really are a contractor - or if you're merely
a temp employee. Most people who think they're a contractor really aren't.
They're a temp employee of an agency or the client. 

If you really are a contractor, you have a real contracting business. (i.e.,
not working through an agency unless subcontracting via 1099). Typically
this means: 
* you are incorporated and/or have a business license
* you have a business checking account
* you have liability insurance
* you pay your own benefits
* you have employees (e.g., yourself, your s.o., your kids)
* you have a business ID (business card, letterhead, etc.)
* you have an office away from the client site
* you advertise your services somewhere
* you generally have more than one client at a time
* you bill the client rather than get a "paycheck"
* you can set your own hours
* you consult with the client on what services/products you render rather
than being told how to do your job
* you have business expenses
* you experience profits and a losses
* etc., etc., etc.

If you're still not sure, then consider yourself a temp employee and get
yourself a business attorney and an accountant - today. 

> From: Charter, Tara M. [mailto:Charter -dot- Tara -at- mayo -dot- edu]
> Subject: IRS: employee or contractor?
> 
> Scenario
> You are a contractor, and you are using working at the client 
> site, using
> their PCs and software, and you've been there for over a 
> year... then you
> get questioned by the IRS...
> 
> has this happened to you? how do you avoid it?