Our builder clients always ask us about the difference between an employee and a subcontractor (AKA independent contractor) for purposes of Workers Compensation and tax withholding. There are a number of rules of thumb on this issue that have been circulating from IRS and Workers Compensation authorities. However, we just found a fantastic article on this topic that we wanted to share that provides more thorough advice on the topic. Read the article by clicking on the source link below.
Source: Independent Contractor or Employee, SC Lawyer Magazine January 2010