I hired a web development company to build my web site. At the end of the year, is there any tax liability? It's a straight forward contract. Is the web development company considered an independent contractor? Anyone know? Thanks!
Assuming you're in the US, and it's more than $600 you just need to file a 1099 for them. If it's less than $600 you need do nothing. http://www.ehow.com/about_4743118_1099-reporting-requirements-small-business.html