Question

The IRS will issue advanced rulings as to whether a worker's status is that of an employee or an independent contractor.

a. True
b. False

Answer 1

The IRS does issue advanced rulings to determine worker's status as employee or independent contractor.

Step-by-step explanation:

The statement is true. The IRS (Internal Revenue Service) issues advanced rulings to determine whether a worker should be classified as an employee or an independent contractor. These rulings help clarify the worker's status for tax purposes and ensure compliance with tax laws and regulations. The IRS considers various factors, such as the level of control and independence in the worker's relationship with the business, to make the determination.