H.R. 9114 – Gig Is Up Act

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Updated June 8, 2026 at 12:21 PM UTC

The Gig Is Up Act would change the tax code so that very large companies – those with at least $100 billion in annual gross receipts and that work with 10,000 or more independent contractors – must treat payments to those contractors like regular wages for payroll tax purposes. This means the contractors’ earnings would be subject to Social Security and Medicare withholding, and the companies would have to pay the employer’s share as well. The change also counts those wages toward Social Security benefit calculations.

Key Provisions

Creates a new tax rule for companies with $100 billion+ in revenue and 10,000+ contractors, treating contractor payments as wages.
Applies the payroll tax rates in section 3111 at double the current rates (both employee and employer portions).
Aggregates related entities as a single employer for determining if the rule applies.
Amends the Social Security Act to include the newly‑treated wages and half of the extra tax as earnings for benefit eligibility.
The new rules take effect for payments made after December 31, 2026.

Legislative Activity

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1 earlier action

HouseIntro Referral Latest Action

Referred to the House Committee on Ways and Means.

Ways and Means Committee

June 2, 2026

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HouseIntro Referral

Introduced in House

June 2, 2026

HouseIntro Referral

Referred to the House Committee on Ways and Means.

Ways and Means Committee

June 2, 2026

Bill Text

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Introduced in HouseIssued June 2, 2026

I

119th CONGRESS

2d Session

H. R. 9114

IN THE HOUSE OF REPRESENTATIVES

June 2, 2026

Mrs. Watson Coleman (for herself, Ms. Lee of Pennsylvania, Mrs. McIver, Mrs. Hayes, Ms. Tlaib, Ms. Adams, Ms. Omar, and Mrs. Ramirez) 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.

1.

Short title

This Act may be cited as the Gig Is Up Act.

2.

Payroll tax withholding for certain independent contractors

(a)

In general

Subchapter C of chapter 21 of the Internal Revenue Code of 1986 is amended by redesignating section 3128 as section 3129 and by inserting after section 3127 the following new section:

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 provision 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 multiplying by 2 the rate in effect under subsection (a) thereof, and

(B)

by multiplying by 2 the rate in effect under 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.

.

(b)

Self-Employment earnings for purposes of social security

Section 211(a) of the Social Security 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 paragraph:

(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 pursuant to the substituted rates specified in subparagraphs (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 payments made after December 31, 2026.