Tag Archives: Tax Liability

Western Logistics, Inc., d/b/a Diligent Delivery Systems, v. Industrial Claim Appeals Office, 2012COA186 (October 25, 2012)

Delivery drivers being directed and controlled are not independent contractors. The Division of Employment and Training made a determination that 220 drivers working for a delivery business were employees for unemployment tax liability purposes, notwithstanding language in the drivers’ contracts stating they were independent contractors. The court of appeals upheld the administrative ruling based on the following facts: 1) the drivers were not customarily engaged in the delivery business, 2) they did not offer those services to others, 3) they were paid under their own names, 4) the business set prices, determined clients, and required compatible cell phones, among others, and 5) employer could terminate contracts without penalty, demonstrating a right to control the drivers. Thus, the drivers were employees for unemployment tax purposes under CRS 8-70-115(1)(b).

http://www.courts.state.co.us/Courts/Court_Of_Appeals/Opinion/2012/11CA2461-PD.pdf

http://www.cobar.org/opinions/opinion.cfm?opinionid=8718&courtid=1

[Certiorari Granted]

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Filed under Administrative, Contracts, Government, Workers Compensation