Are You Classifying Workers Properly on Information Returns?
One of the key issues tax practitioners must understand is worker classification and the safe harbor provisions under Treasury regulations. In order to have a good working knowledge of how to properly file Form 1099 information returns, practitioners must know the due diligence steps that should be taken when preparing and reporting these information returns to the IRS.
In this session, taxation and bankruptcy attorney Haleh C. Naimi will provide a general overview of worker classification issues and the safe harbor for independent contractors. The session will focus on best practices that businesses and individuals can implement to accurately and timely file information returns such as Forms 1099s and 5471. Haleh will also discuss, among other things, the information disclosure requirements for U.S. taxpayers of foreign-owned corporations and the distinctions these disclosures have from the FBAR requirements. Due diligence steps will be outlined, as well as key facts, figures and quality inputs.
Review employee vs. independent contractor factors for reporting payments on Form 1099
Understand backup withholding requirements
Understand the purpose of Form 1099-MISC
Understand the reporting requirements for Form 5471
Review the due diligence steps in disclosing information to the IRS on Form 5471
Understand the need for a thorough reasonable cause statement to accompany the disclosure
Haleh Naimi is a tax and bankruptcy attorney representing individuals and businesses (ranging in size from small to middle-market) in complex tax, bankruptcy and commercial litigation matters throughout California and New York. She has lectured on tax controversy issues involving collection and bank...