AL HB77

Requires employers and state agencies to use the Internal Revenue Service test enumerated in Rev. Rul. 87-41 (1987-1 C.B. 296) to determine whether a worker is an employee for employment benefits and tax liability purposes.

Applies to determinations of eligibility for benefits and protections under Title 25 of the Alabama Code (employment and unemployment) and tax liability determinations under Title 40 (revenue and taxation).

Mandates that the IRS test, as amended or replaced from time to time, be used by employers and responsible state agencies in making employment status determinations.

Becomes effective on the first day of the third month following passage and approval by the Governor, or its otherwise becoming law.