Bill Sponsor
Senate Bill 1549
115th Congress(2017-2018)
NEW GIG Act of 2017
Introduced
Introduced
Introduced in Senate on Jul 13, 2017
Overview
Text
Sponsor
Introduced
Jul 13, 2017
Latest Action
Jul 13, 2017
Origin Chamber
Senate
Type
Bill
Bill
The primary form of legislative measure used to propose law. Depending on the chamber of origin, bills begin with a designation of either H.R. or S. Joint resolution is another form of legislative measure used to propose law.
Bill Number
1549
Congress
115
Policy Area
Taxation
Taxation
Primary focus of measure is all aspects of income, excise, property, inheritance, and employment taxes; tax administration and collection. Measures concerning state and local finance may fall under Economics and Public Finance policy area.
Sponsorship by Party
Republican
South Dakota
Senate Votes (0)
House Votes (0)
No Senate votes have been held for this bill.
Summary

New Economy Works to Guarantee Independence and Growth Act of 2017 or the NEW GIG Act of 2017

This bill amends the Internal Revenue Code to establish a test for determining if a service provider should be classified as an independent contractor rather than as an employee for tax purposes.

If the requirements of the test are met, the provider may not be treated as an employee, the recipient or any payor may not be treated as an employer, and compensation for the service may not be treated as paid or received with respect to employment.

The factors of the test include:

  • the relationship between the parties (i.e., the provider incurs expenses; does not work exclusively for a single recipient; performs the service for a particular amount of time, to achieve a specific result, or to complete a specific task; or is a sales person compensated primarily on a commission basis);
  • the place of business or ownership of the equipment (i.e., the provider has a principal place of business, does not work exclusively at the recipient's place of business, and provides tools or supplies); and
  • the services are performed under a written contract that meets certain requirements (i.e., specifies that the provider is not an employee, the recipient will satisfy withholding and reporting requirements, and that the provider is responsible for taxes on the compensation).

The bill also: (1) sets forth withholding and reporting requirements for service recipients who meet the requirements of the test, and (2) allows service providers to petition the U.S. Tax Court for a determination of employment status.

Text (1)
Actions (2)
07/13/2017
Read twice and referred to the Committee on Finance.
07/13/2017
Introduced in Senate
Public Record
Record Updated
Jan 11, 2023 1:37:07 PM