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State of Maryland- Worker misclassification

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Newguy1985

New member
I worked for a Farmers insurance company starting in February of 2021 until June of this year. The owner paid me hourly no commission. Time was set from 9:00 to 5pm. I orginally filled out a W4 form.

Then he decide to switch me to a 1099. He paid for everything. For example, I worked in an office paid for by him, he paid for leads, matieral, supply and etc. The first few months he seem to be taking out taxes. Then he switched to 1099 and I never filled out any 1099 form.

I still have records of what I orginally signed with farmers insurance and an email of him asking me to fill out an attached W4 form.

I had been pressing him to send me something in regards to taxes. He finally sent me a 1099 misc at the end of June. I filed an extension however back in February of this year for my taxes. According to a tax professional it is the wrong form. The tax professional said it did not seem like I was a 1099 contractor ever based on me not having any expenses. Fast forward I have been trying to get a hold of the former employer and nothing. I will still file my taxes but my tax bill will be alittle over 6,000. How do I take action against my former employer?
 


zddoodah

Active Member
I worked for a Farmers insurance company starting in February of 2021 until June of this year. The owner paid me hourly no commission.
I assume you mean that you worked for an agent, not that you worked directly for Farmer's.


Then he decide to switch me to a 1099.
When did this happen?


The first few months he seem to be taking out taxes.
What does "seem to be" mean?


I never filled out any 1099 form.
The employer fills out the 1099.


I had been pressing him to send me something in regards to taxes.
When? If the change from employee to independent contractor happened on or after January 1, 2022, there's nothing for him to send you at this time. If the change happened before that date, then he should have sent you a 1099 shortly after the new year.


He finally sent me a 1099 misc at the end of June.
For what tax year?


The tax professional said it did not seem like I was a 1099 contractor ever based on me not having any expenses.
If he said that you not having expenses was the sole factor, then he may not know what he's talking about.


I will still file my taxes but my tax bill will be alittle over 6,000.
So?


How do I take action against my former employer?
Action for what? If you believe you were misclassified as an independent contractor, then you should consult with a local employment law attorney.
 

Newguy1985

New member
I assume you mean that you worked for an agent, not that you worked directly for Farmer's.




When did this happen?




What does "seem to be" mean?




The employer fills out the 1099.




When? If the change from employee to independent contractor happened on or after January 1, 2022, there's nothing for him to send you at this time. If the change happened before that date, then he should have sent you a 1099 shortly after the new year.




For what tax year?




If he said that you not having expenses was the sole factor, then he may not know what he's talking about.




So?




Action for what? If you believe you were misclassified as an independent contractor, then you should consult with a local employment law attorney.
1. I worked for an agent.

2. Seem to be mean as I stated he was taking taxes out at first.

3.ok the employer filled out a 1099. I orginally filled out a W4.

4. The change happened before the new year. And I had to press him to send me something so I can file my taxes. He emailed me a 1099 misc under other income with the wrong amount. He put in a higher amount. However I kept my records of what I was paid. Not to mention he did not email me the 1099 until mid June.

5. Tax year 2021

6. No what he is saying is that I was paid hourly, orginally filled out a W4 and the agent I worked for leased the office, set the hours, paid for leads, equipment and etc. That is why he said it sounds like I was an employee.

7. Thanks I will look for an employment law attorney.
 

LdiJ

Senior Member
I worked for a Farmers insurance company starting in February of 2021 until June of this year. The owner paid me hourly no commission. Time was set from 9:00 to 5pm. I orginally filled out a W4 form.

Then he decide to switch me to a 1099. He paid for everything. For example, I worked in an office paid for by him, he paid for leads, matieral, supply and etc. The first few months he seem to be taking out taxes. Then he switched to 1099 and I never filled out any 1099 form.

I still have records of what I orginally signed with farmers insurance and an email of him asking me to fill out an attached W4 form.

I had been pressing him to send me something in regards to taxes. He finally sent me a 1099 misc at the end of June. I filed an extension however back in February of this year for my taxes. According to a tax professional it is the wrong form. The tax professional said it did not seem like I was a 1099 contractor ever based on me not having any expenses. Fast forward I have been trying to get a hold of the former employer and nothing. I will still file my taxes but my tax bill will be alittle over 6,000. How do I take action against my former employer?
You can file an SS-8 with the IRS asking them to make an official determination that you were an employee rather than a contractor. You can also fill out form 8919 with your taxes so that the employer half of the SS and Medicare taxes can be excluded from your tax bill. (Instead of filing a Schedule C). It does sound like you were legally an employee but the rules for that are not quite as simplistic as you (or your tax preparer) believe. You will see that when you fill out the form SS-8.

If you believe that the employer did withhold some taxes in the beginning, and never refunded that to you, you can sue them, but you would have to have some record of the taxes withheld. (paystub or similar)
 

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