Generally, companies are not responsible for paying additional taxes or social contributions for contractors or freelancers. However, you should be careful that your contractors are not misclassified. Employee misclassification, or paying a de facto employee as a contractor, can lead to hefty fines from tax authorities in many countries. In cases where you aren’t sure if your staff are genuine contractors or de facto employees, it’s best to engage a hiring partner who knows the local laws and can advise you on which classification is best for your situation. Whether you are hiring contractors or full-time employees, Horizons is the best choice of international hiring partner, especially if you plan to hire in a developing country. Get in touch today.