An Act encouraging the growth of small businesses

This bill creates a new legal category called "bona fide business entities" to help small businesses avoid being classified as employees by the state and federal government. To qualify for this status, a business must register with the Secretary of the Commonwealth, report its income as independent business earnings on tax forms, and comply with all existing laws regarding employee taxes, unemployment insurance, and workers' compensation. The primary effect is that services provided under a written contract by these qualifying entities will not count as employment for purposes of state tax codes, Title IX, Title XXI, and Labor and Industries regulations.