3.0.0 3396 2023-01-11T13:37:20Z 2023-01-11T13:37:20Z House HR 2017-07-25 115 [Congressional Record Volume 163, Number 125 (Tuesday, July 25, 2017)]From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]By Mr. PAULSEN:H.R. 3396.Congress has the power to enact this legislation pursuantto the following:Clause 1 of Section 8 of Article I of the United StatesConstitution.[Page H6299]]]> hswm00 Ways and Means Committee House Standing Referred to 2017-07-25T14:01:00Z NEW GIG Act of 2017 115 1549 S 2017-07-13 Read twice and referred to the Committee on Finance. Related bill CRS NEW GIG Act of 2017 115 4165 HR 2017-10-27 Referred to the House Committee on Ways and Means. Related bill CRS 2017-07-25 Referred to the House Committee on Ways and Means. IntroReferral H11100 2 House floor actions hswm00 Ways and Means Committee 2017-07-25 Introduced in House IntroReferral Intro-H 9 Library of Congress 2017-07-25 Introduced in House IntroReferral 1000 9 Library of Congress P000594 Rep. Paulsen, Erik [R-MN-3] Erik Paulsen R MN 3 N S001196 Rep. Stefanik, Elise M. [R-NY-21] Elise Stefanik R NY M. 21 2017-10-31 False Taxation Contracts and agency Self-employed Tax administration and collection, taxpayers Wages and earnings Taxation 00 2017-07-25 Introduced in House 2018-01-03T19:45:46Z This bill amends the Internal Revenue Code to establish a test for determining if a service provider should be classified as an independent contractor rather than as an employee for tax purposes.

If the requirements of the test are met, the provider may not be treated as an employee, the recipient or any payor may not be treated as an employer, and compensation for the service may not be treated as paid or received with respect to employment.

The factors of the test include:

  • the relationship between the parties (i.e., the provider incurs expenses or risks income fluctuations; does not work exclusively for a single recipient; performs the service for a particular amount of time, to achieve a specific result, or to complete a specific task; or is a sales person compensated primarily on a commission basis);
  • the place of business or ownership of the equipment (i.e., the provider has a principal place of business, which can be home or mobile-based, or bears financial responsibility for the equipment used to provide the service); and
  • the services are performed under a written contract that meets certain requirements (i.e., specifies that the provider is not an employee, the recipient will satisfy reporting requirements, and that the provider is responsible for taxes on the compensation).

The bill also sets forth: (1) reporting requirements for service recipients who meet the requirements of the test, and (2) procedures for the reclassification of employment status by the Internal Revenue Service.

]]> To amend the Internal Revenue Code of 1986 to change the classification of employers and employees for services providers. Display Title To amend the Internal Revenue Code of 1986 to change the classification of employers and employees for services providers. Official Title as Introduced To amend the Internal Revenue Code of 1986 to change the classification of employers and employees for services providers. Introduced in House IH Introduced in House 2017-07-25T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-115hr3396ih/xml/BILLS-115hr3396ih.xml 2017-07-25 Referred to the House Committee on Ways and Means. text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.