Independent contractor misclassification audits in California continue to rise. The IRS as well as the California Employment Development Department or EDD are heavily targeting San Diego employers with 1099 employees or independent contractors. Each agency believes the vast majority of independent contractors are actually employees who are misclassified. The financial impact of this issue is substantial for all employers, and can threaten the actual survival of most businesses. The issues arose out of a US Supreme Court decision 18 months ago. The Supreme Court ruled that it wasn’t simply a …
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