TaxProf Blog

Editor: Paul L. Caron, Dean
Pepperdine University School of Law

Saturday, December 15, 2012

Independent Contractor Status and the IRS's Twenty Factor Test

Alexandre M. Zucco (J.D. 2011, Wayne State), Note, Independent Contractors and the Internal Revenue Service's Twenty Factor Test: Perspective on the Problems of Today and the Solutions for Tomorrow, 57 Wayne L. Rev. 599 (2011):

[T]his Note will sift through the key sources of authority pertaining to worker classification and attempt to establish a clear perspective on where the lines are currently drawn between employees and independent contractors. To accomplish this, the Note will proceed down a somewhat unorthodox path by examining this topic through a business law lens as opposed to the many employment, tax, and tort law dimensions that are intertwined. First, the Note will provide background of the development of the main standard that the IRS uses for worker classification, as well as important derivative standards and factors that often come into play. Second, the Note will analyze the inconsistencies and ambiguities that plague such standards and lead to a continually high level of misclassifications. Third, the Note will offer a variety of national and Michigan-oriented cases that further illustrate the constant state of flux that worker classification is mired in. Fourth, the Note will point out the many different opinions of experts and commentators on how the unpredictability associated with worker classification creates significant issues for businesses. Ultimately, the Note will conclude by arguing in favor of an overhaul of the entire worker classification system by focusing on the goal of significantly reducing the number of misclassifications and making the regulatory standards more business-friendly and less convoluted.

Scholarship, Tax | Permalink

TrackBack URL for this entry:

Listed below are links to weblogs that reference Independent Contractor Status and the IRS's Twenty Factor Test:


How can those of us who are not Westlaw subscribers get a copy of this article?

Posted by: Steven Sorell | Dec 16, 2012 2:09:40 PM

It doesn't seem to be on the free SSRN but just email the author directly. Looks like he works at a Michigan law firm. He would probably be thrilled to hear from an interested person like you.

Posted by: Tax Accountant Reader | Dec 17, 2012 9:22:26 AM