Understanding 1099, W2, and C2C in Recruitment: Can You Help Me Out?

Hi all,

Can anyone help me in getting the information about 1099, W2, and C2C in recruitment? Please help me as soon as possible.

Regards,
Arun

Hi,

A W-2 hire by a company is a direct permanent hire, and W-2 refers to the IRS form that is filled out by the company and handed over to the employee when it's time to file taxes for the year.

A 1099 is also an IRS form, like the W-2, used by direct contractors - those who are not going through consulting companies. The 1099 is given to the direct contractor by the company that uses his or her services.

C2C is basically the subcontractor format of hire where a company routes the hire through a consulting company. A retainer or a certain amount of money, often called the "contracted amount," is given by the company to the consulting company. The consulting company then pays its employee who works for the company an amount after deducting taxes, its rate of profit for the contract, and any other legal charges. Essentially, the employee is an employee of the consulting company, and he or she will receive a W-2 from the consulting company.

SK

Hi. I am here with a few inputs.

1099 - It is temporary employment. The employee himself will pay taxes to the IRS (US Government body). Only citizens and green card holders are eligible to work as 1099 employees.

W2 - Here, taxes will be paid by the employer to the IRS. Green card holders, citizens, and H1B visa holders come under this type of employment.

C2C - Corporation to corporation. Here, the employee will be on the payrolls of company 'X' but working for another corporation. It is only for contract jobs.

Regards, Hari

Understanding Tax Terms in the USA

Let's discuss three tax terms in the USA.

A W2 is a tax form sent to employees each year that details salary and tax deductions. A person who is on W2 status is considered an employee.

A 1099 is a tax form sent to a contractor to detail what was paid for work done for the company by the contractor. No deductions are withheld as the contractor is considered self-employed and responsible for their own taxes.

Corp to Corp is when a company pays another company for the services of individuals who do work for them. In this case, the individual is usually considered an employee of the company providing the workers.

Please share more information about all the above taxes.

Understanding Tax Forms in Recruitment: W-2, 1099, and Corp to Corp

A W-2 is a tax form sent to employees each year that details salary and tax deductions. A person who is on W-2 status is considered an employee.

A 1099 is a tax form sent to a contractor to detail what was paid for work done for the company by the contractor. No deductions are withheld as the contractor is considered self-employed and responsible for their own taxes.

Corp to Corp is when a company pays another company for the services of individuals who do work for them. In this case, the individual is usually considered an employee of the company providing the workers.

Hi All, can anyone help me in getting the information about 1099, W-2, and Corp to Corp in recruitment? Help me ASAP.

Regards,
Arun

Understanding Employment Tax Forms: W-2, 1099, and Corp to Corp

A W-2 is a tax form sent to employees each year that details salary and tax deductions. A person who is on W-2 status is considered an employee.

A 1099 is a tax form sent to a contractor to detail what was paid for work done for the company by the contractor. No deductions are withheld as the contractor is considered self-employed and responsible for their own taxes.

Corp to Corp is when a company pays another company for the services of individuals who do work for them. In this case, the individual is usually considered an employee of the company providing the workers.

Hi all, can anyone help me in getting the information about 1099, W-2, and C2C in recruitment? Help me ASAP.

Regards,
Arun

Hi friends, I want to know if someone should have their own corporation for a 1099.

I'm giving you my set of inputs backing up the discussion.

Contract Types

- **Contract - W2:** Will be working as a contract W-2 employee for the company.
- **Contract to Hire - W2:** Will be working as a contract W-2 employee for the company with the option to hire.
- **Full-time:** Will be working as a full-time W-2 employee for the company.
- **Contract - Independent:** Will be working as a contract 1099 employee for the company.
- **Contract to Hire - Independent:** Will be working as a contract 1099 employee for the company with the option to hire.
- **Contract - Corp-to-Corp:** Will be working on contract with or through another corporation.
- **Contract to Hire - Corp-to-Corp:** Will be working on contract with or through another corporation with the option to hire.
- **TN:** Visa for temporary workers authorized under schedule 2 of NAFTA.