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An independent contractor agreement is a contract that allows a client to hire a contractor for specific tasks, also known as a 1099 agreement, referring to the IRS form for tax purposes. Unlike employees, independent contractors do not have taxes withheld from their payments and must handle their own tax filings. This contract highlights key legal differences between contractors and employees, typically providing more flexibility but less stability. The growth of independent contractor roles has outpaced traditional employment, driven by technological changes. Before creating an agreement, it's important to assess the eligibility of the work involved.