# Contractor payments

URL: /systems/finance/contractor-payments · Id: `capability:contractor-payments`

> Contractor payments onboard contractors and human supply, collect their tax forms, pay accepted work and file year-end information returns.

Contractor payments onboard contractors and human [Suppliers](/business/nouns/supplier), collect their tax forms, pay accepted work and file year-end information returns.

## Contract
| Clause | Terms |
| --- | --- |
| Starts | A contractor or Supplier is engaged. |
| Before first payment | A tax form is collected and its taxpayer number matched ([Information returns](/systems/legal-and-corporate/floor/information-returns)). |
| Payment | On accepted work only, paid out through [Earnings](/systems/payouts). |
| Year end | An information return files for every payee over the threshold, and each payee gets a copy. |
| While held | Own. Each [Startup](/business/nouns/startup) pays its own payees. |

## Verbs
None.

## Interfaces
- [API](/code/api/reference)
- [SDK](/code/sdk/reference)
- [CLI](/code/cli/reference)
- [MCP](/code/mcp/reference)

## Upstream
apis.tax, under an Agreement.

## Example
A home-workout app pays 31 freelance trainers per class taught. Each trainer’s tax form is matched before the first payout, and at year end 28 information returns file in one batch.