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States chasing tax cheats, including 1099s
Posted by NERCC on October 09, 2008 at 12:00 AM

The Boston Globe today contained an article about one of the few expanding segments of the economy: tax compliance. In the rough times, many states are ramping up efforts to bridge the income gap by collecting more of the taxes that have been going unpaid.

The article specifically mentions efforts to increase collections of taxes not paid in Massachusetts as a result of workers being misclassified as independent contractors.

The story said: “Massachusetts tax collectors expect to squeeze another $30 million out of some businesses by cracking down on those that improperly classify workers as independent contractors instead of full-time employees to avoid taxes.”

The full story can be read online here.

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