Andrew Puzder Loses Job, but Domestic Workers Suffer Even Bigger Losses, Says President of HomeWork Solutions, Inc.

In Response to the Recent News about Puzder, HomeWork Solutions, Inc. is Now Offering Complimentary Consultations about Employment Law

LOS ANGELES, CA / ACCESSWIRE / February 22, 2017 / Kathleen Webb, President of HomeWork Solutions, Inc., a household payroll and tax service based in Sterling, Virginia, is pleased to announce that the company is now offering free consultations to anybody looking for clarity on the complex issues related to employment law.

To learn more about HomeWork Solutions and the services that they offer, please visit http://www.homeworksolutions.com.

As Webb noted, recent events in Washington D.C. inspired her to make this generous offer.

“Once again, household employment issues have tripped up a Trump cabinet appointee,” Webb said, adding that Labor Secretary nominee Andrew Puzder employed a housekeeper not legally permitted to work in the United States. Following Mick Mulvaney’s and Wilbur Ross’ missteps, this marks the third Trump appointee to improperly employ domestic workers, though it’s not just a few high-profile individuals who are skirting the employment and tax law. The improper employment of domestic workers is a systemic problem which requires attention.

“Estimates are that there is upwards of $5 billion in uncollected payroll taxes for domestic workers each year,” noted Webb.

“The impact of not paying ‘nanny taxes’ extends beyond the US Treasury and budget deficits. It affects the hard-working women and men who care for other families’ children, drives their cars, and aid the elderly in their homes. Failure to pay these taxes bars employees from full access to social safety net benefits including Social Security, Medicare, unemployment insurance, and health care premium subsidies through the Affordable Care Act.”

A significant portion of the domestic workforce is made up of low-wage workers; many of whom have recently arrived in the United States.

“With a huge number of immigrants participating in the domestic labor force, it is important to educate employers on the benefits of paying taxes for both them and their employees,” stated Tom Falik, President of Homecare Registry Solutions, LLC.

“Paying caregivers legally potentially grants these employees access to societal benefits such as Social Security and Medicare, while protecting the employer from legal liability for unpaid taxes. Furthermore, it is necessary for the immigration system to be reformed to allow these workers a more viable path to citizenship, as our society will not be able to meet its growing need for in-home care without immigrant caregiver participation. Not only are more families relying on in-home childcare, but with a rapidly growing senior population there is an unprecedented demand for senior caregivers.”

Many families employing undocumented workers do not realize that it is possible for them to pay employment taxes even for undocumented employees. The IRS has created the Individual Taxpayer Identification Number (ITIN) for those unable to obtain a Social Security number, which may be used to pay income taxes, regardless of immigration status. Per the American Immigration Council, ITINs allow the IRS to bring in billions of dollars that the federal government would have no way of collecting otherwise.

In 2013, 4.3 million people filed tax returns using ITINs, Webb noted, and these individuals account for $9 billion in payroll taxes annually. The Council also notes that an ITIN does not provide legal work status or authorization, nor does it entitle an individual to Social Security benefits. Instead, an ITIN allows the IRS to collect taxes due and allows the employee to get credit for payments into the Social Security system should they ever become eligible for benefits. With so many immigrants working in American households, it is important that families understand how to fulfill their obligations as employers.

“Current estimates are that more than 85 percent of household employers either file incorrectly or not at all. HomeWork Solutions is offering free consultations to anybody looking for clarity on this complex piece of employment law. Call HomeWork Solutions to determine what is needed to protect you and your family,” Webb said.

About HomeWork Solutions:

HomeWork Solutions specializes in providing household employers and their tax preparers real solutions for nanny tax compliance. They are nationally recognized experts in the field of household employment taxes, regularly consulted by media such as the New York Times and Wall Street Journal. For more information, please visit https://www.homeworksolutions.com/.

Contact:

Daniel Rafeedie
info@homeworksolutions.com
(949) 555-2861

SOURCE: HomeWork Solutions

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