In Contrasting the Reporting Procedures of Employees and Self-Employed Persons

question 63

Multiple Choice

In contrasting the reporting procedures of employees and self-employed persons regarding job-related transactions,which of the following items involve self-employed?

• A)Form 2106.
• B)Schedule C of Form 1040.
• C)Form W-2.
• D)Schedule A of Form 1040.
• E)None of the above.

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Definitions:

Compensation

Payments or benefits provided to employees, workers, or individuals as wages for services rendered or as reparation for injuries.

Liability Insurance

Insurance coverage that protects against claims arising from injuries or damages to other people or property.

Malpractice

Failure by a professional to perform their duties to the required standard of conduct, often resulting in harm to a client or patient.

Freelance Paralegals

Paralegals who work on a contract basis for various law firms or attorneys, rather than being employed by a single firm.