Blog > Tax Legislation amp Proposals > CALIFORNIA GIG WORKER LAW IRS ISSUE
CALIFORNIA GIG WORKER LAW IRS ISSUE
September 8, 2022 - Douglas Myser
California Gig worker law IRS issue. Recently, the California legislature put a bill forward to change how truckers are classified under California law. It aims to change them from independent contractors to employees, using a three pronged test to make the determination. It has caused alot of consternation among truckers, with opponents and those in favor voicing opinions since the proposal became law. Many truckers are threatening to strike if it is implemented. This is a pushback against industries nationwide that have tried to lower the overall wages of Gig workers, stating they were independent contractors, which ultimately leads to significantly lower wages. California Gig worker law IRS issue.
What the Legislature in California did was to recognize that the IRS is the determiner of what is called "Status:, which is the classification you put on your tax form. Incorrect status can have severe ramifications once you file your tax return. We had a Partnership that filed 6 years in the wrong status, and nearly 7 years later, the IRS told them they had to re-file all of the returns, which added thousands in penalties and interest. Truckers don't have the right to make the determination, neither does the company they work for, only the IRS. The California law, is only recognizing that, and using the test that will make that determination. Many truckers are stating they don't have the money for the permits and licenses, and that's what bothers them. Well since the large majority of accidents on highways involve large trucks, you would think that some type of regulation is warranted.
If you are a trucker and have a tax debt or Unfiled Tax Returns, we have helped thousands of truckers over the last 36 years get the tax man off their back. We can file your returns, then determine your options for debt relief, including Offer in Compromise, Penalty Abatement, Livable Payment Plans, we also work with the California Franchise Tax Board, are specialists at the IRS Fresh Start Program, and can even take a case to Tax Court when appropriate. We work hard to keep a IRS Wage Garnishment from happened by using Tax Resolution Services of Federal Tax Resolution that are recommended by other Tax Resolution Companies. Our Tax Resolution Company is Nationwide, operating continuously for 36 years. Call for a Tax Resolution consultation today. 1-888-689-7861
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