On 30/08/2011 4:46 AM, X ~ Man wrote:
On 8/29/11 6:19 PM, North Star wrote:
On Aug 29, 6:05 pm, wrote:
Two weeks ago, I got a registered letter for the state of CA saying
they would put a lien on my business assets in CA because I had failed
to pay unemployment comp there. I do not have any CA employees
although I do use a consultant there and maintain a bank account and
PO box there.
I immediately called him and told him to close the account and close
the PO box and that I would no longer pay him via any bank in CA but
would pay him via a NV bank. On further consideration, I realized
that even paying a consultant at all in the peoples Repub of CA is a
bad idea so I had to let him know that keeping him as a consultant was
simply too dangerous as long as he lived in CA.

You seem to have a real problem understanding and following the laws
of the land.

Don, the problem isn't that he doesn't understand or follow the laws of
the land. He is following the laws of the land. He had to fire the CA
consultant and do business with a consultant who lives in a state with
laws that are conducive to business. Since a consultant will never be
able to file unemployment comp, it does not make sense to pay for
unemployment comp. Bill is not depriving his employee of any benefits,
and is not breaking any laws by hiring a consultant who lives in a state
who does not require you to pay for insurance you can not or will not
use. I tried to type this slowly, does it make more sense now?

Nothing to stop the consultant in getting a company in his name, and you
contract with the company and not the person. And the consultants
company pays the state in which they reside, including taxes and
everything. Pretty common practice really.

But my guess is the contractor knew this too, and wasn't clean in the
paperwork. Many companies demand you are incorporated or a LLC or they
will not deal with you for this reason.

It isn't tough to do either, you get a company, a name, a bank account
in the company name, submit taxes to the state/fed yourself. Even get a
business credit card just for business expenses.

--
If it is all Bush's fault, then how come Obama is doing much more of the
same and expecting different results?