USA: New Jersey Labour Department states Uber must pay $650million in unpaid taxes

Author: Chris Opfer, Bloomberg, Published on: 15 November 2019

"Uber Hit With $650 Million Employment Tax Bill in New Jersey (3)", 14 November 2019

Uber Technologies Inc. owes New Jersey about $650 million in unemployment and disability insurance taxes because the rideshare company has been misclassifying drivers as independent contractors, the state’s labor department said...

 ...“We are challenging this preliminary but incorrect determination, because drivers are independent contractors in New Jersey and elsewhere,” Uber spokeswoman Alix Anfang told Bloomberg Law...

...The state’s determination is limited to unemployment and disability insurance, but it could also mean that Uber is required to pay drivers minimum wages and overtime under state law. Uber’s costs per driver, and those of Lyft, could jump by more than 20% if they are forced to reclassify workers as employees, according to Bloomberg Intelligence....

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Related companies: Uber