Employee Status Is Always Better Than Independent Contractor Status for a Taxpayer

question 173

True/False

Employee status is always better than independent contractor status for a taxpayer because the employee is responsible for paying the employee portion of the FICA taxes.

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Definitions:

Secured Party's Interest

The financial interest a creditor has in the collateral provided by a debtor to secure a loan or line of credit.

Debtor

An individual or organization that owes money to another entity, typically as a result of a loan or credit.

Collateral

Property or assets that a borrower offers to a lender as security for a loan, which can be seized if the loan is not repaid.

Proceeds

Money or other benefits received from a sale, insurance policy, or other transactions.