Arizona Contractors License Practice Exam

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What is the purpose of Form I-9?

To apply for a contractor's license
To ensure employees have legal immigration status
To report tax information
To register business names

The correct answer is: To ensure employees have legal immigration status

Form I-9 is specifically designed to ensure that employees have legal immigration status to work in the United States. This form is required by federal law for all employers to verify the identity and employment authorization of individuals who are hired for employment. When completing Form I-9, the employee must provide documents that establish both their identity and their employment eligibility. This process helps prevent the hiring of individuals who are not legally allowed to work in the country, making it a critical part of maintaining compliance with immigration laws. The other options pertain to different processes and regulatory requirements. For instance, applying for a contractor's license involves submitting specific documentation to a state licensing board rather than an immigration verification form. Reporting tax information usually involves different forms such as the W-2 or 1099, which deal with tax withholding and income reporting. Registering business names is a separate process, often handled at the state level and not relevant to employment verification.