Episode 112: Contractor vs. Employee Crackdown

In this episode:

• Tax Changes Coming: New tax legislation is expected, though details remain unclear.

• Income vs. Consumption Tax: Some Republicans propose replacing income tax with a national sales tax—unlikely to gain traction.

• IRS Under Pressure: Talk of abolishing the IRS is unrealistic. Staffing cuts and layoffs have worsened service, especially for notice resolution.

• Startup Deductions: A proposed bill would raise the startup cost deduction from $5K to $20K, easing the burden on new businesses.

• Contractor vs. Employee Crackdown: IRS is stepping up enforcement. Misclassification risks penalties—accurate documentation is key.

• Section 530 Relief: Offers protection if contractors were treated consistently and proper forms were filed.

• Americans Abroad: U.S. citizens must pay tax on worldwide income but can exclude up to $130K if they meet certain residency tests.

We are joined by, Brett Emmons, founder of the BE LIFE Institute, who shares his journey from youth empowerment to launching a movement that bridges personal and professional growth. Inspired by a chance encounter and the book Reinventing Organizations, Brett helps business and nonprofit leaders evolve their organizations using systems that mirror living ecosystems—emphasizing shared leadership, intention, and adaptability. Through retreats, masterminds, and coaching, BE LIFE empowers leaders to harmonize life and work, unlocking what Brett calls “whole life wealth.”