JB Hunt seems to think they're special.

I go to PA regularly this year. I almost got to like there. Don't worry me about any 3%....What's even that?

 

You have a link to this deal in PA?

 

IMO JB Hunt being special or not, they're not the cheapest among the whole pool of bigger or mega brokers. It is easier to get a better rate from them vs. say...TQL, CHR, or Coyote - in my experience. Lately, they offer free quick pay if the load is managed via their app.

 

https://www.rklcpa.com/new-pa-rules-for-non-resident-1099-misc-withholding/

 

Most of them are pushing those tracking apps.

 

OK. So let's say, for example, that I take a series of loads from JB Hunt out of PA then it should not legally concern me, because technically I am not paid by a PA entity but by JB Hunt. It is JB Hunt who gets paid from their PA based customers, so it is JB Hunt customers who need to file 1099 - MISC and withhold that 3.07% from their pay to JB Hunt. I would hate to be liable for any additional - separate business tax filing or any paperwork over there.

 

I don’t see where this is any concern to a trucking company delivering freight into the state.

 

From what I gather of it, PA expects the PA based payer of the 1099 to withhold 3 percent from their settlements to any non-resident contractor if the dollar amount exceeds 5k. If I understand it correctly that is. If one happens to be a PA resident it seems like a moot point but for a non-resident it may be an issue. Who knows though? Like I said earlier I don't see how anyone can withhold any taxes on a 1099 legally regardless of what PA expects to see happen.

 

This goes both ways, if your a new broker why should anyone haul your freight?
My guess given current market conditions is that if a broker (especially a new broker) feels he or she is in a position of superiority soley because of their role, they are in for an uphill battle.

Way too many established brokerages around to mess with anyone that doesn't pass the sniff test.

 

You guys do not want to know how many hour+ long conversations I've had at work about carrier requirements. And these weren't meetings that I was unhappy to be in... This stuff is really important.