Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Path: utzoo!mnetor!seismo!husc6!wjh12!maynard!campbell 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