- 8 - other individuals who are considered employees regardless of their status under the common law. Individuals described in those paragraphs are commonly referred to as “statutory” employees. One such category of statutory employees consists of officers of corporations. Sec. 3121(d)(1). Section 31.3121(d)- 1(b), Employment Tax Regs., limits that category as follows: (b) Corporate officers.–-Generally, an officer of a corporation is an employee of the corporation. However, an officer of a corporation who as such does not perform any services or performs only minor services and who neither receives nor is entitled to receive, directly or indirectly, any remuneration is considered not to be an employee of the corporation. * * * Section 31.3306(i)-1(e), Employment Tax Regs., contains a like limitation specifically applicable to the FUTA tax. B. Section 530 of the Revenue Act of 1978 Section 530 provides in relevant part as follows: SEC. 530. CONTROVERSIES INVOLVING WHETHER INDIVIDUALS ARE EMPLOYEES FOR PURPOSES OF THE EMPLOYMENT TAXES. (a) Termination of certain employment tax liability-- (1) In general.–-If–- (A) for purposes of employment taxes, the taxpayer did not treat an individual as an employee for any period, and (B) in the case of periods after December 31, 1978, all Federal tax returns (including information returns) required to be filed by the taxpayer with respect to such individual for such period are filed on a basis consistent with the taxpayer’s treatment of such individual as not being an employee,Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011