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operations. Ludlow also obtained remuneration from petitioner’s
bank account as his needs arose.
Furthermore, although section 3121(d)(1) may be inapplicable
to the extent that an officer performs services in some other
capacity, i.e., as an independent contractor, petitioner has
offered no convincing evidence that Ludlow worked for or was
engaged by petitioner in a capacity other than as an officer.
See Joseph M. Grey Pub. Accountant, P.C. v. Commissioner, 119
T.C. at 129-130; Rev. Rul. 82-83, 1982-1 C.B. 151, 152. The only
item referenced in the record that could suggest an independent
contractor relationship is the Form 1099-MISC reporting
nonemployee compensation for 1998. This document is
uncorroborated by other evidence, such as a service agreement,
and is entitled to little weight. See Joseph M. Grey Pub.
Accountant, P.C. v. Commissioner, supra at 130. Hence, we
conclude that Ludlow was an employee of petitioner for employment
tax purposes, in accordance with section 3121(d)(1).
B. Availability of Section 530 Relief
Section 530 affords relief from employment tax liability,
notwithstanding an adverse classification, where the following
three requirements are satisfied: (1) The taxpayer has not
treated the individual, or any individual holding a substantially
similar position, as an employee for any period; (2) the taxpayer
has consistently treated the individual as not being an employee
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