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muhammasif
Apr 26, 2005, 06:31 PM
Hi,

Can a person on H-1B working for only one employer receive 1099-MISC instead of W-2 from that employer?

Thanks.

AtlantaTaxExpert
Apr 27, 2005, 06:09 AM
Muhammasif:

The fact that you are on a H-1B visa is irrelevent to whether you get a W-2 or a Form 1099-MISC.

What dictates 1099 vs W-2 is the nature of your job. If the work tends to require specializewd skills and virtually no supervision (such as an accountant or a programmer), it is a definite candidate for a Form 1099-MISC.

In such circumstances, you are not an employee, but rather a subcontractor.

It is a growing trend in the United States to designate former employees as subcontractors, thus relieving the employer of the requirement to pay benefits, employment taxes (Social Security and Medicare) and unemployment insurance.