Ezel / IRS Rulings / 200908046

CCA 200908046: Worker-status request raised both income and employment tax issues

Number
200908046
Outcome
Advice
Document type
Chief Counsel Advice
IRS subject
Common Law Tests
Topics
Employment taxes
Code sections
§ 3121
Ruling dated
January 26, 2009
Publicly released
February 20, 2009
Source
View Official PDF

Apply this to your situation

This page covers legal advice the IRS Office of Chief Counsel wrote for IRS staff, issued in 2009, which can't be cited as precedent. Ask about your situation and see what the current Code and IRS guidance say, with citations.

Currency note: this determination was released in 2009
Statutory amendments, regulation changes, court decisions, or later IRS guidance may have changed the analysis since then. Treat this page as historical context, not current tax advice. Verify current law before relying on any specific rule, threshold, or position mentioned here.
Not precedent. Under 26 U.S.C. § 6110(k)(3), this written determination may not be used or cited as precedent. It is advice from the IRS Office of Chief Counsel to IRS personnel on the facts they presented, and identifying details were redacted by the IRS before release. The official IRS release (linked on this page as a PDF) is the authoritative source.
About this page: The plain-English summary and ruling snapshot below were written by Ezel based on the official IRS release. The full text is the IRS's own document.
View official IRS release (PDF)

Plain-English summary

Chief Counsel considered how to characterize a worker's request involving self-employment tax and worker status. The email said the matter was an income tax issue for the worker because self-employment tax is an income tax matter. It also said an employee determination would create employment tax issues for both the worker, through FICA, and the firm. The writer therefore thought the IRS should not rule on the request, regardless of whether the Form SS-8 came from the worker or the firm.

Ruling snapshot

  • Question: How should the IRS treat a worker-status request that implicates both self-employment and FICA tax?
  • Outcome: Advice given: the writer favored not ruling whether the Form SS-8 came from the worker or the firm.
  • Key authorities: UILC 3121.04-01; SECA and FICA worker-status rules.

Full text (IRS public release)

ID: CCA_2009012608344141 Number: 200908046
Release Date: 2/20/2009
Office: -----------------------------
UILC: 3121.04-01

From: ----------------
Sent: Monday, January 26, 2009 8:34:51 AM
To: ---------------
Cc:
Subject: FW: Question on SET Appeals Cases

----- - when the request comes from the worker, it is an income tax matter to them b/c
SECA is income tax matter. It is simultaneously an ET issue to them if we say they are
an EE and owe FICA. It is also an ET issue to firm. So it's 2 sides of same coin. I think
not ruling is the best view whether the SS-8 comes from worker or firm.

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