1. Suppose that you run a small business and have recently hired someone part-time to help with the work.Discuss the major factors a business should consider in classifying a worker as an employee or independentcontractor. (See IRS Publication 15-A at https://www.irs.gov/publications/p15a/ and the US DOLs recentinterpretation at http://www.dol.gov/whd/workers/misclassification/ai-2015_1.htm).

2. Why would an employer want to classify workers as independent contractors? Be very specific (e.g.dont just list broad categories but itemize your answer carefully).

3. What form does a business send to independent contractors that shows how much they were paid for theirwork?

4. What are the purposes of this form? Discuss at least two.

5. Not all independent contractors should receive this form. To which independent contractors should this form be sent? (Be very specific.)

6. By what date does this form need to be mailed (postdated) to independent contractors in 2016?

7. Which form(s) related to independent contractors must be sent to the IRS and by what date in 2016,assuming you are snail-mailing the form(s)?