Freelance Clinician makes each party's role in tax compliance easy to understand and follow.
For the Medical Professional:
-Medical professionals are paid by the healthcare facility as an independent contractor.
-Medical professionals must pay all applicable state and federal taxes on income generated as a self-employed independent contractor.
-Medical professionals receive an IRS form 1099 from all healthcare facilities that have paid the medical professional in the preceding year.
-Freelance Clinician does not collect the medical professional's Social Security Number, nor does Freelance Clinician issue any tax forms to the medical professional.
-Medical professionals, as self-employed independent contractors, can use their business expenses (e.g. insurance, travel, lodging, meals, 1/2 of their self-employment taxes, the small service fee paid to Freelance Clinician, etc.) to decrease their tax burden.
For the Healthcare Facility:
-Healthcare facilities do not collect or pay any taxes for the medical professional.
-Healthcare facilities report payments made to medical professionals for services rendered as an independent contractor and issue the medical professional an IRS form 1099 noting those payments. (https://www.irs.gov/pub/irs-pdf/f1099msc.pdf)
-Healthcare facilities do not issue any tax forms to Freelance Clinician nor does Freelance Clinician issue any tax forms to the healthcare facility.
-Freelance Clinician does not provide the medical professional's Social Security Number to the healthcare facility.