Need help understanding how IRS Form 8919 works for employee misclassification

The Form 8919 is specifically for workers who believe they've been misclassified as independent contractors when they should actually be considered employees. It lets you report your share of Social Security and Medicare taxes when your employer didn't withhold these taxes from your pay. Here's what you need to understand: If you're truly an employee (which it sounds like you are), your uncle should be handling both income tax withholding AND payroll taxes (Social Security/Medicare). As an employee, you're responsible for half of these payroll taxes while your employer pays the other half. Independent contractors, on the other hand, pay the full amount themselves through self-employment tax. Form 8919 doesn't retroactively withhold taxes - it helps you properly report and pay your correct share of Social Security and Medicare taxes (instead of the higher self-employment tax rate) when filing your return. You'd still need to pay any income tax due on those earnings. The IRS has a test to determine worker classification called the "right-of-control test" looking at behavioral control, financial control, and relationship factors. Based on what you've described, you sound like an employee, not a contractor.

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Just wanted to update everyone - I tried taxr.ai after posting my question here and wow, what a game changer! I was really on the fence, but after uploading my paystubs and answering a few questions about my job duties, they confirmed I was definitely misclassified as a contractor. The report they generated broke down exactly how much Social Security and Medicare tax I should be paying vs what my employer should be covering. They even created a customized Form 8919 with all my information pre-filled and explained which classification code to use (I needed Code G). The best part was the documentation they provided to show my uncle. It was professional enough that he took it seriously, and he's now working with his accountant to get me properly classified. They even estimated how much I'd need to set aside for federal income tax based on my current earnings. Honestly wish I'd found this months ago before stressing myself out trying to understand tax codes!

I had a nightmare trying to resolve a similar misclassification issue with the IRS for months. Kept calling their number and either waiting for hours or getting disconnected. Finally found Claimyr (https://claimyr.com) and it completely changed the game. They got me connected to an actual IRS agent in under 45 minutes when I'd been trying for weeks on my own. The IRS agent walked me through exactly how to fill out Form 8919 correctly and explained which classification code applied to my situation. They also helped me understand how to document that I had tried to get my employer to correct the classification issue (which strengthens your case). You can see how the service works here: https://youtu.be/_kiP6q8DX5c If you're serious about resolving this properly, getting direct guidance from the IRS is invaluable, especially for forms like 8919 where the details really matter.

I need to admit I was completely wrong about Claimyr. After posting my skeptical comment last week, I decided to try it myself since I was desperate to talk to someone at the IRS about my misclassification issue. The service connected me to an actual IRS representative in about 35 minutes when I had previously spent 3 entire afternoons trying to get through with no success. The agent I spoke with reviewed my situation and confirmed I should use Form 8919 with Classification Code G since I had received a determination from my state DOL that I was misclassified. She also explained that I needed to attach a statement to my return explaining the situation and gave me specific language to use. Most importantly, she clarified that using Form 8919 would prevent me from having to pay the employer portion of Social Security and Medicare taxes, which will save me thousands. Cannot believe I wasted so many hours trying to call them directly when this solution existed!

Has anyone had success filing Form 8919 without having an official determination from the IRS or DOL? My employer is clearly treating me as an employee (sets my hours, provides equipment, etc.) but refuses to classify me properly, and I can't wait months for an official determination before filing.

Just to clarify something important - Form 8919 doesn't eliminate your tax liability. You still owe the income tax on all those earnings. What Form 8919 does is ensure you're only paying the employee portion of Social Security and Medicare taxes (7.65%) rather than the full self-employment tax rate (15.3%). For someone in your tax bracket, you should probably be setting aside around 15% for federal income tax PLUS the 7.65% for Social Security/Medicare. So that 20% your mom suggested might actually be a bit low depending on your total annual income. I'd recommend using the IRS Tax Withholding Estimator tool to get a more precise figure based on your specific situation.