{"id":16847,"date":"2025-10-03T10:39:22","date_gmt":"2025-10-02T23:09:22","guid":{"rendered":"http:\/\/quantiphy.com.au\/oldbackup\/?p=16847"},"modified":"2025-10-03T10:39:22","modified_gmt":"2025-10-02T23:09:22","slug":"employees-incorrectly-treated-as-independent-contractors","status":"publish","type":"post","link":"https:\/\/quantiphy.com.au\/oldbackup\/employees-incorrectly-treated-as-independent-contractors\/","title":{"rendered":"Employees incorrectly treated as independent contractors"},"content":{"rendered":"<p>The ATO is warning businesses that if they incorrectly treat an employee as an independent contractor, then they risk receiving penalties and charges, including:<\/p>\n<ul>\n<li><b>PAYG withholding penalty<\/b> for failing to deduct tax from worker payments and send it to the ATO;<\/li>\n<li><b>Super guarantee charge <\/b>(&#8216;SGC&#8217;), which is more than the super that would have been paid if the worker was classified correctly.\u00a0 SGC consists of a super guarantee shortfall amount, nominal interest, and an administration fee; and<\/li>\n<li><b>Additional SG penalties, <\/b>including a penalty amount of up to 200% of the SGC.<\/li>\n<\/ul>\n<p>&#8216;Sham contracting&#8217; may also contravene the <i>Fair Work Act 2009<\/i>. Courts can impose penalties against a business or person that incorrectly informs an employee that they are an independent contractor.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The ATO is warning businesses that if they incorrectly treat an employee as an independent contractor, then they risk receiving penalties and charges, including: PAYG withholding penalty for failing to deduct tax from worker payments and send it to the ATO; Super guarantee charge (&#8216;SGC&#8217;), which is more than the super that would have been&#8230;<\/p>\n","protected":false},"author":1,"featured_media":16848,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[41,6,43],"tags":[],"class_list":["post-16847","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-accounting","category-news","category-tax"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 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