1099 Risk Blog

Rep. McDermott introduces new worker classification legislation

Turning up the heat:

Proper classification of contractors and employees continues to hit the headlines on a regular basis, and the latest news is the release of yet another legislative effort to eliminate worker misclassification and help state and federal tax agencies recover more revenues without raising taxes. Representatives McDermott, Tierney, and Neal introduced The Taxpayer Responsibility, Accountability, and Consistency Act in session yesterday. Adding fuel to the fire, the labor Unions have issued a variety of press releases today praising the measure. The Unions argue that misclassification as contractors prevents workers from being able to join and therefore infringes on their right to organize.

Granted that this is an election year and a variety of powerful lobbies (and not just the unions) are interested in passing this kind of legislation, interest and pressure in the topic of worker classification will only increase in the coming months.

We'll be adding this bill to our Legislation Tracker page as soon as it becomes available on GovTrack, so stay tuned to these pages!

Read More >