> Will IRS refund said workers the payroll taxes workers paid as part of their Schedule-C? Possibly, if they ever actually collect it. (not sure of the legal r

> Will IRS refund said workers the payroll taxes workers paid as part of their Schedule-C? Possibly, if they ever actually collect it. (not sure of the legal requirement here) The best thing a contractor in this situation can do is file an amended return now, using Form 8919 to re-calculate the employee share of FICA tax they owe. This will also involve filing Form SS-8 (separately) to dispute their status as a contractor. It may take several years to get processed, but at least it creates a formal claim that the IRS will have to eventually honor or deny. Also note that only the 7.65% employer portion of FICA, less the income tax deduction that Schedule C filers get for that, is in question. Also, as employees there may be other business deductions they took on Schedule C they would no longer be entitled to. The employer (FTX) is also liable for taxes that sole proprietors don't pay, such as FUTA (federal unemployment), and a variety of state payroll taxes most likely.