Many of you may have heard about the recent updates to the law here in New Jersey as it relates to services performed for remuneration (contracts of hire, written or oral, express or implied) and being considered employment.
The State of NJ Department of LWD (Labor Workforce Development) sent communication to every licensed CPA in the State of NJ, clarifying their position as to who is an employee and who is not. They have left the policing/enforcing(?) of this up to the practitioners and 'politely' reminded us as professionals licensed by the Board of Accountancy and governed by the Accountancy Law it is up to us to offer reliable information that is used with respect to the guidance and assessment of positions taken.
I am attaching a copy of the letter I received from NJDLWD where they define the "ABC test". Please take a moment to read this letter and make sure you specifically document each 1099 contractor you engage and keep this information in your files. You may email me to request a copy of this letter.
I have received many questions relating to this topic, and look forward to discussing specific questions on a case-by-case basis.