JANUARY 1, 2009 DEADLINE
If your business hires independent contractors and
gives them a 1099 at the end of the tax year, beginning January 1,
2009 those independent contractors will be considered your
employees by the State of Minnesota.
Your options are:
Hire your Independent Contractors
(ICs) as employees.
Have your ICs get an Independent
Contractor Exemption Certificate before January 1, 2009.
Click here to see if they qualify.
After January 1, 2009,
Construction Contractors will be required to deduct 2% as
Minnesota state income tax withholding from individual Independent
Contractor 1099s over $600.
Click here for state requirements.
Let us create a Limited Liability
Company (LLC) or S Corporation and then you can contract with
the new business.
Click here to start a new LLC or S Corp.
Call us for more information: