The United Brotherhood of Carpenters is making a big push to combat Tax Fraud across the country. Listed are six warning signs of Tax Fraud on the job.
1.) Employees are paid in cash.
2.) Employees receiving personal or company checks without any taxes being withheld.
3.) Employees are being misclassified as “Independent Contractors” and being issued a 1099 tax form at the end of the year.
4). Piecework pay versus actual hourly pay.
5). Not being paid overtime.
6). Using an undocumented workforce.
A study was done back in 2014 that the State of Illinois lost 19.5 million in tax dollars. The Chicago Regional Council of Carpenters established a Tax Fraud Task Force to investigate tax fraud in our area. We have reached out and met with several State Agencies: including the Illinois Department of Labor, the Attorney’s General Office and the Illinois Workers Compensation Commission. Illinois Comptroller Susana Mendoza signed an executive order where her office is going to monitor state contracts for Prevailing Wage Compliance. Another victory into combatting this issue is Senate Bill 161 which was signed into legislation on August 23rd, 2019 creating a Worker Protection Unit with the Office of the Attorney General which will protect workers from wage theft and other unlawful employment practices. Good news!
The Chicago Regional Council of Carpenters Tax Fraud Task Force is looking into various targets, project types and government agencies that fund these projects. If you have been of victim of Tax Fraud, please don’t hesitate to call our hotline at:
Rock Falls: 815-626-2396
For additional information go to: www.stoptaxfraud.net
Honest contractors can make a difference in our fight against construction industry tax fraud.
CLICK HERE for more information on Standing Up to Tax Fraud from the United Brotherhood of Carpenters and Joiners.
U.S. Department of Labor to Withdraw Independent Contractor Rule
The U.S. Department of Labor today announced the withdrawal – effective May 6 – of the “Independent Contractor Rule,” to maintain workers’ rights to the minimum wage and overtime compensation protections of the Fair Labor Standards Act. This is very good news! We got a victory here! CLICK HERE for more information.
Official notice in the Federal Register CLICK HERE