Back from the store yet? I’m tapping my...I mean I’m twiddling my thumbs in anticipation.
In general I have nothing against independent contractors in business. In this case, according to your friend, the practice is being used for competitive advantage. Seems a tad sleazy.
If I’m reading it right, Blackwater doesn’t pay taxes on it’s workers, because of how they classify them (i.e. contractor vs. employee).
Even though they’re doing the exact same thing as Triple Canopy, they don’t pay any taxes.
So they always have the low bid on a government contract, while not paying taxes to the government on the money.,
It’s a loophole that, IMO, should be closed.
If it’s an American company awarded an American government contract, why are they allowed to be tax free, simply because of how they word their workers?