Voluntary Classification Settlement Program Meaning | Patriot Software

Payroll Definitions

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Voluntary Classification Settlement Program (VCSP) Definition

The Voluntary Classification Settlement Program (VCSP) gives employers the opportunity to reclassify their workers as employees.

VCSP Extended Definition
Misclassifying workers as independent contractors when they are actually employees is unlawful. VCSP lets eligible employers reclassify their workers with reduced penalties. Employers can apply for the program by filling out IRS Form 8952.

Last Updated By

Jenna Hutkowski | May 01, 2023

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