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A personal service contract establishes a working relationship between a company and an individual or business within the personal service industry. Personal services, as defined by the IRS, encompass activities in fields such as accounting, actuarial science, architecture, consulting, engineering, health (including veterinary services), law, and the performing arts. These services are typically intangible, lacking a physical product. Consulting is one of the broadest areas within personal services. Prior to hiring an independent contractor or entering into a contract, a firm agreement should be drafted. Essential elements to include are the names of the parties involved and the date of the agreement.
