TRENTON –Assemblyman Republican Conference Leader Jon Bramnick (R-Union) is preparing legislation to change a tax law that requires a business to pay the taxes of independent contractors who do not withhold unemployment insurance for its employees.
For example, if the owner of a day camp hires a contractor, such as an outside bus company, to perform certain work and the bus company does not deduct unemployment taxes for its employees, the day camp is currently responsible for the bus company’s unpaid taxes – even if it had no knowledge the bus company failed to pay its taxes.
“Our outdated tax structure needs to be revamped,” said Bramnick. “The present law reflects a government tax policy which has little concern for a real world business.”
Bramnick is working with his fellow legislators on a measure to eliminate this provision. The bill will be introduced when the Assembly reconvenes.
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