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Can't Uber and Lyft get around this by requiring their contractors to register their own companies? E.g. a SMLLC might be sufficient.
by jameslk 7y ago
Can't Uber and Lyft get around this by requiring their contractors to register their own companies? E.g. a SMLLC might be sufficient.
- dagw 7y agoEven if that would work from a legal perspective, I suspect that it would be enough of a practical hurdle to greatly decrease the number of people willing to drive for Uber/Lyft.
- kmjg88nvf8 7y agoIf these people don't need the money, then I guess it is no problem.
- shpongled 7y agoEspecially in a state like California, where you have to pay an $800 franchise tax each year to keep an LLC registered, regardless of if it has any income.
- justinc8687 7y agoFor most legal purposes, a SMLLC isn't considered different than an independent contractor. For example, unless you file a Form 2553 to be taxed as an S Corporation or a Form 8832 to be taxed as a C Corporation, you just file a Schedule C on your 1040, the same as if you didn't have an LLC.