Comments on: Fired from MBO – A True Story with a Happy Ending http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/ A Blog to Discuss the formation of a VFX Digital Artists Guild Tue, 22 Nov 2011 15:16:54 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Audit Accounting http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/comment-page-1/#comment-523 Audit Accounting Mon, 03 May 2010 04:24:54 +0000 http://www.fxdag.org/blog/?p=41#comment-523 Figuring this stuff can be pretty annoying, thanks for writing this post to clear up some confusion. Figuring this stuff can be pretty annoying, thanks for writing this post to clear up some confusion.

]]> By: Anonymous http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/comment-page-1/#comment-300 Anonymous Tue, 13 Apr 2010 16:52:53 +0000 http://www.fxdag.org/blog/?p=41#comment-300 While what MBO and Yucor are doing is probably not illegal, that is ONLY true, IF the workers they are billing for are truly Independent Contractors. Just working freelance does automatically make you an Independent Contractor. If you check the various IRS and Department of Labor websites you'll find that they would classify most freelance workers in the industry as temporary employees. As such the freelancers should be employees of the hiring company or of an employer of record payroll service that passes the employer taxes back to the client and not to the employees. This structure is quite standard in the live action film and TV production industry. So it would be illegal IF you do not pass the IRS and DOL tests as an Independent Contractor and MBO or Yucor bill for your services and deduct the employer payroll taxes from you. While what MBO and Yucor are doing is probably not illegal, that is ONLY true, IF the workers they are billing for are truly Independent Contractors.

Just working freelance does automatically make you an Independent Contractor. If you check the various IRS and Department of Labor websites you’ll find that they would classify most freelance workers in the industry as temporary employees. As such the freelancers should be employees of the hiring company or of an employer of record payroll service that passes the employer taxes back to the client and not to the employees. This structure is quite standard in the live action film and TV production industry.

So it would be illegal IF you do not pass the IRS and DOL tests as an Independent Contractor and MBO or Yucor bill for your services and deduct the employer payroll taxes from you.

]]> By: Eric Rosenthal http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/comment-page-1/#comment-297 Eric Rosenthal Mon, 12 Apr 2010 20:25:12 +0000 http://www.fxdag.org/blog/?p=41#comment-297 Thanks for the info! I'll look into filing a complaint through the state government; maybe it has an incentive to go after MBO since they are taking away potential state income tax revenue. If anybody has any info that can help me in this regard, please feel free to contact me at eric30202002 at yahoo Where is the post you're refeering to: “Artists fight back against MBO and Yurkor Employers of Records”? The funny thing is that since I was technically laid off by MBO I'm able to collect unemployment right now which is an unexpected bonus for a freelancer! Eric Thanks for the info! I’ll look into filing a complaint through the state government; maybe it has an incentive to go after MBO since they are taking away potential state income tax revenue.
If anybody has any info that can help me in this regard, please feel free to contact me at eric30202002 at yahoo

Where is the post you’re refeering to:
“Artists fight back against MBO and Yurkor Employers of Records”?

The funny thing is that since I was technically laid off by MBO I’m able to collect unemployment right now which is an unexpected bonus for a freelancer!

Eric

]]> By: Anonymous http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/comment-page-1/#comment-226 Anonymous Wed, 31 Mar 2010 01:34:51 +0000 http://www.fxdag.org/blog/?p=41#comment-226 I didn't really find much online about the founder of MBO, Gene Zaino (other than PR releases). His wiki page says he comes from an accounting background. No surprise there, how else would they know about the gray areas in accounting to exploit? Strange, his wikipedia page has been flagged as an 'vanity page' that violates the neutrality of wikipedia. Smells like shameless self-promotion to me. I'm still not convinced that what MBO is doing is entirely legal. At the very least, MBO shouldn't claim to be experts on the subject, given that they haven't complied with labor laws in California or New York. I hope the State government investigates these Employers of Records to settle the issue. I'm going to fill out a complaint form and attach copies of relevant documents to help start the process. My hunch is, the state would be more than happy to talk to MBO about the labor laws they have violated... I didn’t really find much online about the founder of MBO, Gene Zaino (other than PR releases). His wiki page says he comes from an accounting background. No surprise there, how else would they know about the gray areas in accounting to exploit?

Strange, his wikipedia page has been flagged as an ‘vanity page’ that violates the neutrality of wikipedia. Smells like shameless self-promotion to me.

I’m still not convinced that what MBO is doing is entirely legal. At the very least, MBO shouldn’t claim to be experts on the subject, given that they haven’t complied with labor laws in California or New York.

I hope the State government investigates these Employers of Records to settle the issue. I’m going to fill out a complaint form and attach copies of relevant documents to help start the process.

My hunch is, the state would be more than happy to talk to MBO about the labor laws they have violated…

]]> By: Anonymous http://www.fxdag.org/blog/2010/03/20/fired-from-mbo-a-true-story-with-a-happy-ending/comment-page-1/#comment-224 Anonymous Tue, 30 Mar 2010 22:46:51 +0000 http://www.fxdag.org/blog/?p=41#comment-224 Did MBO explain how what they are doing isn't illegal? That's the thing that bothers me. Did you read the post "Artists fight back against MBO and Yurkor Employers of Records"? Sounds like it's pretty shady. How is charging employees the Employer taxes and reporting the wrong income not illegal? If it's illegal, and they are knowingly involving people in this, it seems pretty evil to me. Did MBO explain how what they are doing isn’t illegal? That’s the thing that bothers me.

Did you read the post “Artists fight back against MBO and Yurkor Employers of Records”? Sounds like it’s pretty shady.

How is charging employees the Employer taxes and reporting the wrong income not illegal?

If it’s illegal, and they are knowingly involving people in this, it seems pretty evil to me.

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