Business & Finance
Kentucky Fried Chicken
How many employees does Galliford Try have?
Asked in Income Taxes, Tax Forms
Can i give a 1099 form to employees in there is only 3?
I'm afraid you already answered your question. You called them employees and employees must be given a W-2 form, and you are responsible for paying your employer share of their Social Security, Medicare, and Unemployment Taxes. Employees must be treated as such no matter how many employees you have. The IRS has been strongly cracking down on people who try to say that employees are subcontractors and to get away with giving them a 1099 form instead of a W-2. The main thing people try to get away with is not paying their share of the taxes listed above. I recommend that you not try it as you will be caught and will be subject to paying the taxes plus interest and substantial penalties.