Using Tax ID instead of SS okay?

Question

I am starting a project for a client, but in their agreement to me, I am specified as the "employee", despite not getting any benefits and being paid hourly, subject to taxes and deductions. I want to maximize my tax advantages and use my Tax ID instead of my SS on the W-4. I also want to know if I do this, will I be able to claim "exempt" from fed/state withholdings. Will there be any sort of tax advantage by doing any or all of these?

Answer 1

This certainly sounds like an employer-employee relationship and thus subject to withholding taxes.  If your employer is paying you hourly, controlling both the work you do and when you do it, providing tools or supplies, and referring to you as an employee, you'd be hardpressed to prove you are an independant contractor.

I'm not sure I understand how you will maximize your tax advantages since you'll still be required to pay income taxes on any income you earn as an independant contractor.  In addition, you'll have to pay self employment tax if you own your own company (an employer pays this for you if you are an employee).

Answer 2

pay your taxes!

Answer 3

No, you can't do this.

They hired you as an employee.  They did not hire you or your "company" to do contract work.  You MUST give them your SSN and be paid on a W-2.  You cannot claim exempt on the W-4 unless you truly do not have enough income to pay taxes.

Answer 4

Load gun

Point at foot

Shoot

Answer 5

There is no tax advantage to givfing them your tax id instead of your ss# - actually if you are an employee, your ss# is required, not a tax id.  NO you would not be able to claim exempt.