Thanks for asking your question! I'm sorry to hear about your tax
issue and I'm going to try my best to help you understand or resolve it.
Thank you for your question, and thanks for using JustAnswer.com. Whether or not you are an employee depends on the level of control that your employer, or customer, exerts over you. Can they influence when and how you work? If so, then you're likely an employee and they have to compensate you as such, or they can get into trouble.
As far as taxes go, as an employee you only pay 1/2 of your FICA taxes. Your employer pays the other half. However, you can only deduct unreimbursed employee expenses if you itemize deductions
, and even then they are subject to the 2% floor of AGI. If you are an independent contractor, you can deduct all your expenses directly against income.
Most of the time, people prefer to be employees, because they only have to pay 1/2 of the FICA taxes.
Please let me know if you need anything additional. Thanks again for using JustAnswer.com and have a great day.
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You should be aware that your question, as with most tax questions, can never really be answered completely...addressing all the permutations; that is because of the many assumptions that have to be made I have done my best to determine what I think you are asking and answering it in the most direct and understandable manner possible. If, however, after reviewing the questions, you have any uncertainties or further questions, please do not hesitate to ask.