[marathonman]

I apologize for making a new thread, but I didn't see this anywhere after looking around awhile.

I live in Eastern Tennessee.

Since 1999, I have 8.5 total years, 1.1 million miles, no tickets, accidents, or any bad marks on my CDL. I worked for a kid in my church for 3 months, Feb to May '08, he had just bought a 53' reefer and an '01 Freightliner classic. I filled out a W-4, and began to drive. He was always telling me what a good job I was doing, so I was sure there would be no problems, right? There wasn't much paycheck at the end of the week, and I would call him with the information I had, and he would give me the pay miles. I deducted about 15% on the short weeks and 20% on the decent checks, which there weren't many of, to be sure my tax obligation was going to be covered. He would write me the checks for the amount I told him was "after tax" or "net."

His loads were terrible, and he couldn't find anything that would allow me sleep time... 5 to 10 hours in the docks to load, 5 hours driving, then I would sleep, then 5 to 10 hours more in the docks to unload. He was paying me 40cpm with no other pay, and it was looking like I had really "stepped in it" before long. In May, the fuel prices skyrocketed to over $5.00/gal in places. The guy told me to park it on May 22nd, '08, after 3 months on the road with many breakdowns, with absolutely no notice. I went to work for a day labor place doing construction until November, leaving for 17 days to go preach in Mexico in September, then returning to work for 2 more months at the day labor place, until I prepared to go to Mexico again in December for a 6 month preaching mission trip, returning in June.

During 2008, I was constantly trying to get the kid who owned the truck to meet with me so we could get the information correct as to what my W-2 would say because he didn't have all the information and I didn't have the pay miles, just the actual miles of the first 10 loads. I was paid by separate checks and sometimes in my checks for reimbursements which was not pay. I wanted to get all those figures straight. He would never meet with me, always telling me, "later." Then, not long before the December trip to Mexico he began to tell me that I would now have to talk to his CPA but he wouldn't tell me who it was until I was in Texas on my way to Mexico, and I never got the tax information resolved.

All the while in January, February, March, April and May, was continually asking my brother if my W-2's had come to my PO Box... he said no. When I returned home in June of this year, the guy avoided me like the plague. I saw him at church and he would disappear just as fast, for two months. I did shake his hand once but he slipped away before I could say anything.

I called him last night at about 9:00PM, he answered me back before long, and what I heard was a complete and utter shock. He told me that I cost him a lot of money so that he had filed a 1099 on me. After I made $7,900 and deducted $1,500 for taxes and social security in 3 months. And only running 19,900 miles in 3 months. I said, "Well, you and I need to sit down and correct that, so I can get a W-2 sent in." He told me that his CPA already filed the 1099. He won't tell me the name of his CPA, but he keeps telling me I have to get my 1099 from them. He said that I should have filed before April, it's past the filing date, I should have filed before April 15th, that I'm on my own, he's not doing anything and I was a terrible employee. I told him I was going to file from Mexico, to which he didn't have an answer, and said to him that we still need to sit down and go through the information so I can file properly, and he said "NOTHING DOING. Not gonna do it. You're on your own."

It is beginning to make sense that after I gave CFI his phone number as my prior employer they would not even answer my calls or call me back last December. I will check my DAC and see if he put anything about me there, too. With my spotless record, even if he did mess my DAC up, I should still be able to get a good job after a truthful rebuttal.

All I can figure is this kid is angry because he lost his truck and is blaming me. He's the one that was getting the loads, not me. The one load he let me get he cancelled and put me on another shorter, dumber one. So, I am looking for answers to this, what should I do? I am a Christian and I will not sue him. I will not sue my Brother. Don't I have a legal obligation to file my taxes correctly with the IRS? He's making it near impossible for me to do that.

Some helpful answers, please? Thanks!

[chris1]

If you filled out a W-4 you can contact the local IRS office and explain the situation. If you push the issue with the IRS they will go after him for the payroll taxes owed. You were not a 1099 contractor. If you have nothing in writing to document your rate of pay you're pretty much out of luck for any additional pay.

[Orangetxguy]

Originally Posted by chris1

If you filled out a W-4 you can contact the local IRS office and explain the situation. If you push the issue with the IRS they will go after him for the payroll taxes owed. You were not a 1099 contractor. If you have nothing in writing to document your rate of pay you're pretty much out of luck for any additional pay.

A filled out W-4 is only as good as the person whom received it. I'm betting any "paperwork" the truck owner had, made it as far as a round file...not a legal file.

[chris1]

Originally Posted by Orangetxguy

A filled out W-4 is only as good as the person whom received it. I'm betting any "paperwork" the truck owner had, made it as far as a round file...not a legal file.

If he insists he filled out a W-4 it will go a long way with the IRS that he was an employee. Of course he states that he told the "employer" how much to hold out for taxes which doesn't sound like a W-2 employee,more like a 1099 and banking the taxes.

[marathonman]

Originally Posted by chris1

If he insists he filled out a W-4 it will go a long way with the IRS that he was an employee. Of course he states that he told the "employer" how much to hold out for taxes which doesn't sound like a W-2 employee,more like a 1099 and banking the taxes.

He was supposed to file the taxes. That is why he pulled them. I was to the understanding that I was a W-2 employee until the phone call last night when I was informed that he had his CPA file a 1099. He used "Lost money" and "Job performance" as reasons why he filed a 1099.

Also, when I gave him a copy of my W-4 he gave me a photocopy of it. I have that, too.

[marathonman]

Originally Posted by chris1

If you filled out a W-4 you can contact the local IRS office and explain the situation. If you push the issue with the IRS they will go after him for the payroll taxes owed. You were not a 1099 contractor. If you have nothing in writing to document your rate of pay you're pretty much out of luck for any additional pay.

*I wrote on some of the checks in the memo section that my pay was for $0.40 cents per mile and that this was the net amount after taxes, before depositing the check.

*Again, as I stated in another reply, I have a copy of the W-4 that was made on HIS COPIER the night I turned it in.

There were many witnesses that also knew that I was being paid 40 cents per mile, including my brother and others at the church. He was telling people and I was telling people.

It is established and provable I was W-4 at 40cpm.

I will do several things here...

1.) Talk with my CPA in North Carolina who has done my corporate, state, sole proprietor and personal taxes since the early 90's, and also has done my personal taxes since I moved here to Tennessee. I will call him on Monday morning.

2.) I will get a copy of my DAC report to see if he slandered me there, because after last night's conversation, he sounded like he had a serious anger issue, again I suppose he's angry at me because he lost his truck.

I do not intend to sue him for anything. That thought is not even in my mind. But, he took $1,500 for FICA and Social Security Taxes and didn't turn them in.

Thank you for your advice.

[thebaldeagle655]

Looks like you need to file this one as LESSON LEARNED!!

When you are working for someone, the employee does not tell the employer how much to take out for taxes, there are tax tables that the employer is required to use and withhold a specific amount based on your gross amount. You should have known from the first week that the employer wasn't legit in his tax accounting and either gone elsewhere or ensured that he got his stuff straight!

Just telling IRS how much was withheld from the checks won't do anything. You probably will be held liable for any taxes that are due on the amount you received IF he did actually file a 1099 (which I doubt!)

As for the $1500 for Fica and Social Security he allegedly deducted, what documentation do you have on this? If there aren't pay stubs or settlement statements with detailed listings of your deductions, you are screwed. Just his word against yours.

My advise, put this behind you, work for legitimate employers, don't repeat this error in the future. You learned a hard lesson and know what to look for now!

[Rev.Vassago]

Originally Posted by thebaldeagle655

When you are working for someone, the employee does not tell the employer how much to take out for taxes, there are tax tables that the employer is required to use and withhold a specific amount based on your gross amount.

The employee can dictate how much is withheld, to a degree. The employee fills out the W4 form, and lists the amount of allowances for withholding purposes. The employee can also request an additional amount withheld on form W4. Then the employer deducts taxes based on that amount.

http://www.irs.gov/pub/irs-pdf/fw4.pdf

[marathonman]

Originally Posted by Rev.Vassago

The employee can dictate how much is withheld, to a degree. The employee fills out the W4 form, and lists the amount of allowances for withholding purposes. The employee can also request an additional amount withheld on form W4. Then the employer deducts taxes based on that amount.

http://www.irs.gov/pub/irs-pdf/fw4.pdf

Thanks. Rev. Vassago. You are correct. Bald eagle's answer was quite forceful but very inaccurate, therefore not valuable. Not picking on him, but it was obvious that he did not carefully read the thread posts I have made or his answer would have been quite different.

Having been the previous owner of a sole proprietorship and also a service corporation , and having been very hands on with the tax processes, it is a given that the business is responsible to turn in taxes according to what deductions the employee tells the business that his exemption status is. In this case, the owner of the truck admitted to me that he had no experience in this and that he was going to rely upon what I said. I had him deduct the amounts to be sure it was always 4% or 5% more than necessary than what my W-4 said so that at the end of the year I would have my 5.5% SS deposit and my entire tax obligation covered, with refund expected.

I will still contact my CPA on Monday and will check my DAC and will post a basic summary of my findings as the events unfold.

[chris1]

Originally Posted by marathonman

*I wrote on some of the checks in the memo section that my pay was for $0.40 cents per mile and that this was the net amount after taxes, before depositing the check.

*Again, as I stated in another reply, I have a copy of the W-4 that was made on HIS COPIER the night I turned it in.

There were many witnesses that also knew that I was being paid 40 cents per mile, including my brother and others at the church. He was telling people and I was telling people.

It is established and provable I was W-4 at 40cpm.

I will do several things here...

1.) Talk with my CPA in North Carolina who has done my corporate, state, sole proprietor and personal taxes since the early 90's, and also has done my personal taxes since I moved here to Tennessee. I will call him on Monday morning.

2.) I will get a copy of my DAC report to see if he slandered me there, because after last night's conversation, he sounded like he had a serious anger issue, again I suppose he's angry at me because he lost his truck.

I do not intend to sue him for anything. That thought is not even in my mind. But, he took $1,500 for FICA and Social Security Taxes and didn't turn them in.

Thank you for your advice.

What you write in the memo section on his check has no legal bearing.

On the W-4 is the employer info in his writing,blank or did you fill that in also?

IRS doesn't resolve wage issues,you would have to sue for that.

Doubtfull that he is a subsciber to DAC.