I 
117TH CONGRESS 
1ST SESSION H. R. 5704 
To amend the Internal Revenue Code of 1986 to require payroll tax 
withholding on independent contractors of certain large businesses. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 22, 2021 
Mrs. WATSON COLEMAN (for herself, Mr. CARSON, Ms. SCHAKOWSKY, Ms. 
TLAIB, Ms. NORTON, Mr. GRIJALVA, Ms. LEE of California, Mr. 
HUFFMAN, Mr. POCAN, and Mrs. HAYES) introduced the following bill; 
which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to require 
payroll tax withholding on independent contractors of 
certain large businesses. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Gig Is Up Act’’. 
SEC. 2. PAYROLL TAX WITHHOLDING FOR CERTAIN INDE-
PENDENT CONTRACTORS. 
(a) IN GENERAL.—Subchapter C of chapter 21 of the 
Internal Revenue Code of 1986 is amended by redesig-
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nating section 3128 as section 3129 and by inserting after 
section 3127 the following new section: 
‘‘SEC. 3128. TREATMENT OF CERTAIN LARGE EMPLOYERS. 
‘‘(a) IN GENERAL.—In the case of a person who has 
at least $100,000,000 in gross receipts for a calendar 
year, and with whom at least 10,000 individuals contract 
to provide services other than as an employee during the 
calendar year— 
‘‘(1) any remuneration paid by such person to 
any such individual with respect to such services 
(and any payment made by such person to any such 
individual in settlement of a transaction for the pro-
vision of such services) shall be treated in the same 
manner as wages with respect to employment of 
such individual for purposes of subchapter B and 
chapter 2, and 
‘‘(2) section 3111 shall be applied— 
‘‘(A) by substituting ‘12.4 percent’ for ‘6.2 
percent’ in subsection (a) thereof, and 
‘‘(B) by substituting ‘2.9 percent’ for ‘1.45 
percent’ in subsection (b) thereof. 
‘‘(b) AGGREGATION RULES.—All persons treated as 
a single employer under subsections (a) and (b) of section 
52 shall be treated as a single employer for purposes of 
this section.’’. 
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(b) SELF-EMPLOYMENT EARNINGS FOR PURPOSES 
OF SOCIAL SECURITY.—Section 211(a) of the Social Secu-
rity Act (42 U.S.C. 411) is amended by striking ‘‘and’’ 
at the end of paragraph (15), by striking the period at 
the end of paragraph (16) and inserting ‘‘; and’’, and by 
inserting after paragraph (16) the following new para-
graph: 
‘‘(17) There shall be included amounts treated 
as wages under section 3128 and an amount equal 
to 1⁄2 of the tax imposed under section 3111 pursu-
ant to the substituted rates specified in subpara-
graphs (A) and (B) of section 3128(a)(2).’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subchapter C of chapter 21 of such Code is amended 
by striking the item relating to section 3128 and inserting 
the following new items: 
‘‘Sec. 3128. Treatment of certain large employers. 
‘‘Sec. 3129. Short title.’’. 
(d) EFFECTIVE DATE.—The amendment made by 
this section shall apply to remuneration and other pay-
ments made after December 31, 2021. 
Æ 
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