Chapter 9

Chapter 9 - Acct 3400 Taxation of Individuals Chapter 8...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Acct 3400 Taxation of Individuals Chapter 8 Practice Questions Question 1: Gwendolyn is a software engineer. She recently performed work for a local scientist in the following capacity. Gwendolyn was required to be at the scientist’s lab from 8:00 until 5:00 Monday through Friday. She was given a computer and underwent training with respect to the current programs used by the scientist and what the type of program the scientist would like Gwendolyn to develop. She was engaged in this relationship for one year before completing her assigned work and terminating employment. During the year, was Gwendolyn an independent contractor or an employee? Explanation: The determination of whether a worker is an employee or independent contractor turns on consideration of the factors provided in Rev. Rul. 87-41. These factors center around the degree of control the principal has over the worker. A partial list of the factors includes a determination of who provides training, who provides the tools/equipment for carrying out the assigned tasks, who sets work hours, and whether the worker is full-time. Applying these factors here, it Gwendolyn is likely an employee. She was trained by the scientist, had a set, full-time schedule during which she was to be in the employ of the scientist, and used the equipment provided by the scientist. Question 2:
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/26/2011 for the course ACTG 3400 taught by Professor Durkee during the Spring '11 term at Weber.

Page1 / 3

Chapter 9 - Acct 3400 Taxation of Individuals Chapter 8...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online