I have a business that utilizes the services of both shop employees and independent contractors. I have one employee who worked as an independent contractor in her home for the 1st few months of 2008, and then we decided to hire her as a shop employee. How do I report her wages for the period she was an indpendent contractor (since it's in excess of $600)? DO I file a 1099 for those wages in addition to her taxable wages earned in the shop?