Relief Veterinarians: Employees or Independent Contractors Irwin Venick, Esq Venick, Kuhn, Byassee, Austin & Rosen PLLC January 30, 2018

Does the law consider them employees or independent contractors? Relief Veterinarians Does the law consider them employees or independent contractors?

What is the Governing Law? Relief Veterinarians What is the Governing Law? State Law Tennessee Workman’s Compensation Act Tennessee Employment Security Act

What is the Governing Law? Relief Veterinarians What is the Governing Law? Federal Law No statutory definition of “employee” Internal Revenue Service – Revenue Ruling 87-41 Twenty Factor Test

IRS Twenty Factor Test Instructions Training Integration Relief Veterinarians IRS Twenty Factor Test Instructions Training Integration Services Rendered Personally Hiring, Supervising, and Paying Assistants

IRS Twenty Factor Test Continuing Relationship Set Hours to Work Relief Veterinarians IRS Twenty Factor Test Continuing Relationship Set Hours to Work Full Time Required Doing Work on Employer’s Premises Order or Sequence Set

IRS Twenty Factor Test Oral or Written Reports Relief Veterinarians IRS Twenty Factor Test Oral or Written Reports Payment by Hour, Week, Month Payment of Business and/or Traveling Expenses Furnishing of Tools and Materials Significant Investment

IRS Twenty Factor Test Realization of Profit or Loss Relief Veterinarians IRS Twenty Factor Test Realization of Profit or Loss Working for More than One Firm at a Time Making Service Available to General Public Right to Discharge Right to Terminate

Sixth Circuit Court of Appeals Relief Veterinarians Sixth Circuit Court of Appeals Superior Federal Court over the interpretation of Federal Law in Tennessee Relies on Restatement (Second) of Agency

Sixth Circuit Court of Appeals Test Relief Veterinarians Sixth Circuit Court of Appeals Test Right to Control the Manner or Means Skill Required Source of Instrumentalities and Tools Location of Work Duration of the Relationship

Sixth Circuit Court of Appeals Test Relief Veterinarians Sixth Circuit Court of Appeals Test Ability to Assign Additional Projects to the Worker Workers’ Discretion over Working Hours Method of Payment Worker’s Role in Hiring and Paying Assistants

Sixth Circuit Court of Appeals Test Relief Veterinarians Sixth Circuit Court of Appeals Test Whether Work is Part of Regular Business of the Employer Whether the Employer is in Business Provision of Employee Benefits

Significance of Independent Contractor/ Employee Determination Relief Veterinarians Significance of Independent Contractor/ Employee Determination IRS Presumes Worker is Employee Burden of Proof is on Employer if Challenged Employer can be Liable for Back Taxes, Penalty and Interest if Worker is Misclassified

Significance of Independent Contractor/ Employee Determination Relief Veterinarians Significance of Independent Contractor/ Employee Determination Ramifications for Federal Employment Laws Title VII of the Civil Rights Act of 1964 Age Discrimination in Employment Act Family and Medical Leave Act Employee Retirement Income Security Act

Significance of Independent Contractor/ Employee Determination Relief Veterinarians Significance of Independent Contractor/ Employee Determination Ramifications under State Law Tennessee Human Rights Act Unemployment Compensation Worker’s Compensation

Significance of Independent Contractor/ Employee Determination Relief Veterinarians Significance of Independent Contractor/ Employee Determination Employers Required to Provide W-2 Forms in January Independent Contractors should receive 1099 Form if Paid More than $600 in a Calendar Year

IRS Enforcement Wage and Hour Division of the US Department of Labor Relief Veterinarians IRS Enforcement Wage and Hour Division of the US Department of Labor Misclassification of Audit Program

Relief Practices in Health Care Relief Veterinarians Relief Practices in Health Care Medical Profession Veterinary Profession

Relief Veterinarians To Maximize Argument that Relief Veterinarian is an Independent Contractor Consult with a Lawyer Prepare a Written Agreement

Written Agreement Points Relief Veterinarians Written Agreement Points Relief Veterinarian is an Independent Contractor Relief Veterinarian is Responsible for own Withholding, FICA and Medicare Taxes Relief Veterinarian will receive a 1099 Reporting their Compensation

Written Agreement Points Relief Veterinarians Written Agreement Points Relief Veterinarian may provide Relief Services to Other Veterinarians Payment made to Entity Created by Relief Veterinarian rather than Individually Compensation Paid for the Unit of Engagement rather than Hourly or Salary

Written Agreement Points Relief Veterinarians Written Agreement Points Acknowledgement that Practice Provided No Training to Relief Veterinarian Acknowledgement that Relief Veterinarian Provides Professional Services Comparable to Standard of the Community rather than Guidelines of Practice

Written Agreement Points Relief Veterinarians Written Agreement Points Acknowledgement that Relief Veterinarian has Own Professional Liability Coverage Acknowledgement that Relief Veterinarian has No Authority to Bind Practice

Written Agreement Points Relief Veterinarians Written Agreement Points Acknowledgement that Relief Veterinarian has Own Professional Liability Coverage Acknowledgement that Relief Veterinarian has No Authority to Bind Practice

Articles Relief Veterinarian: Rules to Live By Relief Veterinarians Articles Relief Veterinarian: Rules to Live By Christopher J. Allen, DVM, JD for DVM360 Is my Relief Veterinarian an Employee or an Independent Contractor? Jeffrey L. Roth, JD for Alabama Veterinary Medical Association Employees or Contract Labor? Billie Scroggs for Georgia Veterinary Medical Association

Relief Veterinarians Questions & Answers