Monica has an annual contract with Industrial Injection Molding Solutions to provide property maintenance services; this includes
Question:
Monica has an annual contract with Industrial Injection Molding Solutions to provide property maintenance services; this includes lawn care, snow removal and parking lot maintenance. Monica spends, on average, 20 hours per week working at the company's premises and is paid a flat amount monthly. She hires part-time workers, when necessary, to assist her. Monica does not have any other clients.
Monica uses her own small tools; however, the company supplies and maintains a riding lawn mower and a snowplow for her use. Her contact at the company is Jean-Paul, the Facilities Supervisor, who meets with her every Monday to discuss the work to be done that week. Jean-Paul approves Monica's monthly invoices and submits them to Accounts Payable.
Does Monica have a contract of service or a contract for service with Industrial Injection Molding Solutions? As the company's Payroll Manager, explain to Jean-Paul the process and factors you used to make your decision.
South Western Federal Taxation 2017 Comprehensive
ISBN: 9781305874169
40th Edition
Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young