Does the state tax commission really take the time to audit small private practices? I didn’t think so, until my practice was selected for an audit.
A few years ago my clinic was selected for an employment tax audit. Lucky me, right? When the auditor walked into my office suite and saw many offices with different names on the doors, he looked at me pleadingly and said, “Please, please don’t tell me that these therapists are all classified as 1099 contractors.”