Leasing under an LLC or Myself.

edited: I read your question wrong.

Will it be a for ever lease or will you eventually own it? Is this truck your daily driver truck?

 

Leasing to own is one of the targets of the Mis-classification problem.

The teamsters have pointed out how drivers being paid on a 1099 can really be an employee instead of a contractor.

This has revenue starved states looking to recover the lost payments into their unemployment funds, etc. that are not collected from someone being paid on a 1099. California and their copy-cat ##### state New Jersey have both adopted a new ABC 'test' making hundreds of different 'contractors' into employees by fiat looking to collect millions in back 'funds' not collected coupled with huge putative fines to 'punish' the companies who were miss-classifying employees as independent contractors.

One of the tests makes it almost impossible to have independents trucking as it requires the 'contractor' to bring a skill set that the company does not possess. Kinda hard for truckers to say they need other truckers.

New Jersey grabbed onto Cali's idea and charged head long into a container hauler. They ignored every independent who had formed as a type S corporation going after individual independents and LLC's and were promptly hauled into court. Our boss is making any lease operator who does not have a corporate identity get one [usually an LLC for now] so the each have a individual EIN number and depending on the outcome in court plans to 'help' them convert over to type S when the time comes.

I believe type S requires workmen compensation coverage which eliminates the mis-classification argument.

LLC's that change over to type S keep the same EIN number.

Over 80% of the 8,500 containers a day moved from the NY/NY seaport are pulled by independents and the teamsters can't organize them. Freddy Potter and Co. think they will be able to gain thousands of new teamsters once they are all 'employees'. The whole thing is a circus and I was hoping for some Federal intervention but Sleepy Joe and the Hoe are pushing for a Federal version of the ABC test...where are we going and why are we riding in a handbasket?