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From: campbell@maynard.BSW.COM (Larry Campbell)
Newsgroups: misc.legal,comp.edu
Subject: Re: Sorry - Independent contractors and the law
Message-ID: <795@maynard.BSW.COM>
Date: Thu, 1-Jan-87 23:54:27 EST
Article-I.D.: maynard.795
Posted: Thu Jan  1 23:54:27 1987
Date-Received: Fri, 2-Jan-87 05:38:17 EST
References: <2352@mtuxo.UUCP> <488@unc.unc.UUCP>
Reply-To: campbell@maynard.UUCP (Larry Campbell)
Organization: The Boston Software Works, Inc.
Lines: 38
Keywords: taxes Moynihan contractors sleaze
Xref: mnetor misc.legal:507 comp.edu:26

In article <488@unc.unc.UUCP> rentsch@unc.UUCP (Tim Rentsch) writes:

>A couple of quick thoughts on the recent tax legislation requiring
>engineering and programming consultants to be considered "employees"
>for tax purposes:
> ...

THIS IS NOT TRUE.  It is true ONLY for consultants who get work through
temporary help agencies (body shops) and the like, and requires that they
be considered employees of the temp agency.  Totally free-lance consultants
who do not use agencies are NOT AFFECTED.

The legislation changing the tax status of contractors who work through
body shops is totally sleazoid.  It is apparently the fault of New
York Senator Daniel Patrick Moynihan, who stuck the provision in as a
favor to a constituent.  The constituent is a large contract help
agency (sorry, don't remember the name) that uses employees rather
than contractors, and wanted to stick it to the smaller agencies that
rely mostly on independent contractors.

I suggest that letters to your congresscritters would be appropriate,
especially for New York voters.  There will be much fine-tuning of the
tax "reform" bill this year, and so it may be possible to get this bit
of sleaze removed.

>(2) I read recently (where?  I can't remember) that Grace Murray
>Hopper was hired as a high-level consultant at DEC.  Being a software
>type (well.... at least a "similar line of work"), doesn't that mean
>that Admiral Hopper can not be a consultant but must be an ordinary
>employee (at least for tax purposes)?  

Grace Hopper is an employee of DEC, whose title happens to include the
word consultant.
-- 
Larry Campbell                                The Boston Software Works, Inc.
Internet: campbell@maynard.uucp             120 Fulton Street, Boston MA 02109
uucp: {alliant,wjh12}!maynard!campbell              +1 617 367 6846
ARPA: campbell%maynard.uucp@harvisr.harvard.edu      MCI: LCAMPBELL