If they didn't take any taxes out of your "paycheck" during the year then you can fight it since you will have to pay the employer's share of the FICA taxes = 7.65%. By paying you as an independent contractor instead of an employee not only do they escape the employer's portion of the FICA taxes they also don't have to cover you for unemployment or worker comp ... it is illegal and you should report them. However do you want to keep the job ? If you report them expect them to fire you.
