Bill S.B. 164
This bill would provide that an employee who knowingly or intentionally files a false statement or false supporting documentation of independent contractor status to the Department of State Revenue in certificate of exemptions required by Burns Ind. Code Ann. § 6-3-7-5 commits a class D felony. These statements of independent contractor status are already required to be filed with the Department of State Revenue for an independent contractor to receive a certificate of exemption from the compensation provisions of the Indiana Worker’s Compensation laws and Worker’s Occupational Diseases Compensation laws.
(1) Rights and remedies due to the employee under Indiana Worker’s Compensation Law or Worker’s Occupational Diseases Compensation Law; or
(2) Liability due under Indiana Worker’s Compensation Law or Worker’s Occupational Diseases Compensation Law.
The bill would also add “misclassifying an employee as an independent contractor” as a Class C misdemeanor by providing that an employing unit or other person who:
(1) Makes a false statement or representation to a state agency knowing it to be false, including misclassifying an employee as an independent contractor;
(2) Knowingly fails to disclose a material fact to:
(a) Prevent or reduce the payment of benefits to any individual entitled to benefits;
(b) Avoid becoming or remaining subject to certain articles of the Indiana Worker’s Compensation Law;
(c) Avoid or reduce any contribution or other payment required from an employing unit under:
(i) This article;
(ii) The employment security law of any other state, or of the federal government or of a foreign government.
(d) Knowingly fails to:
(i) Make a required contribution or other payment;
(ii) Keep or furnish any reports required; or
(iii) Produce or permit inspection or copying of records as required…
commits a Class C misdemeanor, and each day of a failure constitutes a separate offense.
