Two bills were recently introduced that would create a new independent-contractor safe harbor for federal tax purposes. Click here for a side-by-side comparison of S. 1549, introduced on July 13, 2017, by Senate Finance Committee Member John Thune (R-SD), and H.R. 3396, introduced on July 25, 2017, by House Ways and Means Committee Member Erik Paulsen (R-MN). One significant difference between the two bills is that S. 1549 would require tax withholding on payments made to independent contractors, as a condition to qualifying for its proposed new safe harbor, whereas H.R. 3396 would not.
If you have any questions or comments concerning these bills, please let us know at [email protected].
