Bill R (self-employed contractor) asks:
If I pay an independent contractor $10,000 over the course of a year, will I have to withhold money for taxes? Or do I pay her the entire $10k?
Answer:
Hi Bill. You do not have to withhold for taxes when you pay independent contractors. Since you paid her over $600 for the year though, be sure to file a 1099 for her.
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