Section 530 Relief

[dmj4]

Has anyone here attempted to prove Section 530 Relief Requirements? Under this relief, if the requirements are met, you will not owe employment taxes including: FICA, FUTA, FIT, interest and penalties for employment taxes.

Does anyone know if this relief still exists?

There are two Consistency Requirements. These seem to be fairly easy to determine..

There is also Reasonable Basis Test. One of which is Industry Practice Safe Haven.

[RLymanC]

Sec. 530

I can't find you, here sec. 530, were are you.

[Bees Knees]

Sec. 530

Section 530 refers to Section 530 of the Revenue Act of 1978. It does not refer to a code section in the Internal Revenue Code.

Yes, Section 530 is still around. But I think there have been many revisions since that have changed it throughout the years. I have no experience trying to get a client off on it. I usually advise clients to treat everyone as an employee, unless the worker has his or her own separate business.

[Armando Beaujolais]

I can't find you, here sec. 530, were are you.

Section 530 in this context is Section 530 from the Revenue Act of 1978, not from the Internal Revenue Code.

They started hitting the issue because they were concerned that Social Secuity taxes were being avoided by misclassification of employees as independent contractors. The enforcement efforts drew fire because of inconsistent treatment by the IRS. Certain companies were put at a competitive disadvantage if they had to treat workers as employees while their competitors treated them as independent contractors. That's where Section 530 came in, and why there's an industry standard practice rule.

Google Section 530 Revenue Act of 1978 and you'll get the info.

[dmj4]

Section 530 here I am

https://www.irs.gov/pub/irs-utl/emporind.pdf

Above is the address for the information about Section 530.

The following pages have information regarding Industry Practice as a relief:
Pages 15 and 16, page 30 has some good information, burden of proof is on page 31, page 40 is Industry Practice, page 42 talks about the significant segment, page 43 talks about if anonymity is sought survey should be done by an independent 3rd party.