Given that they bear no liability whatsoever, and the manner and amounts that you pay your help is between you and the labor and revenue authorities why should it then be a matter for them to be involved with in the first place?
You are talking in circles.
Let's try and help you.
Court: You're doing business with companies and individuals who are breaking the law.
X: So...we can't contract anymore?
Court: We didn't say that.
X: So we can only contractor with entities that meet certain criteria?
Court: Either that or the entities are actually employees.
X: But we don't have to have employees, correct?
Court: Correct.