ConsultStu

Does a K1 or Owner Complete an I9 form?

According to USCIS, an employer must complete Form I-9 each time it hires any person to perform labor or services in the United States in return for wages or other remuneration. Remuneration is anything of value given in exchange for labor or services, including food and lodging. The requirement to complete Form I-9 applies to new employees hired in the United States after Nov. 6, 1986.

Form I9 is not completed for the following workers:

Independent contractors; or
Employee of a contractor providing contract services (such as employee leasing or temporary agencies) to your business (providing labor);

Are Schedule K1 and Owners considered employees? K-1 employees are the co-owners or partners in a business. These employees differ from W-2 and 1099 employees in several ways: (1) Partners annually file Schedule K-1 (Form 1065) to report income, deductions, gains, losses, and other business-relevant transactions from the operation of the business; and (2) Partners normally do not receive a Form W-2. Income reported on a K-1 is not subject to income tax. Partners and shareholders are not considered employees. However, on rare occasions, a partner may receive both non-taxable income to report on a K-1 and taxable income to report on a W-2. In this situation, the partner would receive taxable income and deductions using normal earning and deduction codes in the payroll system, and be considered an employee of the business.

Guidance in the Handbook for Employers M-274, states that someone that is self-employed would not need to complete Form I-9 on their own behalf unless the person is also an employee of a separate business entity, such as a corporation or partnership. In that case, the person and any other employees must complete Form I-9. So, company owners who are also employees of their own company need to complete the form. If a person is a business owner that actively performs services for a partnership or a corporation – both separate entities – and receives payment in return, an I9 form should be completed.

HR Categories

1095C form 300 Log 401(k)8(a)(1)Accommodation Affordable Care Act Americans with Disabilities Act Arbitration ARPA Audits Background screening Bilingual Bonuses Business Expenses Cannabidiol (CBD)CDC CDL CFPB charity Child labor CHIP Notice Christmas party Clearinghouse COBRA Commercial Motor Vehicle Driver Company Culture Company Property Compensation Compliance Concerted Activity CONNECT Construction consultstu Consultstu Team Contagious disease Coronavirus Craft Beer Department of Labor Direct Threat Disabilities Discrimination DOT Downsizing and Restructuring Dress Code Drivers Drug and Alcohol Drug Free Workplace E-Verify EEO-1 Form EEOC Employee benefits Employee Handbook Employee Illness Employee Injury Employee Misconduct Employee Policies Employee Recognition Employee Referral Employee Rights Employment Poster ERISA Essential functions Executive Order Exempt Employee Exit Interview Fair Credit Reporting Act Fair Labor Standards Act Fall Protection Federal Contractors FFCRA Financial Well-being Firearm Fitness for Duty Florida rules Fluency FMCSA FMLA Form 5500 Form W-4 Fractional HR FTC Gender Non-conformity General HR Questions Goal Setting GPS Group Health Insurance Harassment Hiring Holidays HR Compliance HR Costs HR Resources HR software HSA Human Resources Human Trafficking I9 Form Immigration Independent Contractor Individualized Assessment Injury Statistics Insurance Interviews Investigations IRS ITA Job Description Job Post Joint Employer K1 Leave of Absence Leaving a PEO Management Manager Medical Exams Medical Marijuana mental health Military Appreciation Minimum Wage Morale National Origin New Hire NLRB No-match letter Non-complete Agreements Onboarding Opioids OPT OSHA Outplacement Overtime Paid Leave Pay Cards Pay or Play Paycheck Protection Program Payroll Payroll Protection Program Performance Improvement Plan Performance Review Personnel File Post offer medical questionnaire Posters Pregnancy Publix Immigration Certification Reasonable Accomodation Recall Letter Record Keeping Recruiting Religion Remote employees Restaurants Resume Retaliation Retention Retirement Rewards Risk Management Safety Salaried employees SBA Section 7 Rights Self Appraisal Sick Leave SMART goals Social Media Social Security card Start up Taxes Temporary Employee Termination Tipped Employees Title VII TPD Benefits Training Unemployment Uniforms USCIS Vaccines Volunteer W2 W4 Wage and Hour Wellness program Work from Home Workers Compensation Workplace Monitoring Workplace Violence Wrap Plans

Show All Categories

Show Less Categories