Trying to navigate contractor maze.

So, I'm starting a new Biz in Maine, and I've been using guy with his own insurance for my sporadic jobs so far as a sub-contractor. It seems like this should be simple except for filing taxes, but here you are supposed to fill out a "predetermination of independent contractor status to establish rebuttable presumption" form. I'm a bit confused as to what this form does, besides make someone an independent contractor(I'm having my Sub sign it). Add panic to confusion, because I was talking to my insurance broker about a buddy I'm having come from VT for a big job next week. He also has his own insurance, but apparently wouldn't be able to sign the above form. Because of that, I'm told I will have to pay W.C., on top of contractor pay!!!???? Uh, what? Workers Comp on Sub-contractors? I left a message at my lawyer and the one person at the state who answers questions about this. I have also hired a guy as an employee, whom I will have W.C. for. So, I will have myself, an independent contractor, sub-contractor, and an employee at the job next week.

Question: What happens when property and/or persons and/or workers get injured on the job; and what is the difference in outcome between I.C., S.C., and employee?
 
Sounds like a whole lot of red tape to wade through just to open your door. I have no idea what to tell you, but I'm sure your lawyer can educate you about it. Just wait til you have to issue 1099's for each sub and vendor you deal with. So much for "Change you can believe in"
 

New threads New posts

Back
Top Bottom