Originally Posted by t00nces2
Your need a refresher course on Florida tax law or a change of topic.
As a bona fide contractor you are required by law to collect sales tax on tangible goods used for a property upgrade.
Topic 756 - Employment Taxes for Household Employees
Household employees include housekeepers, maids, babysitters, gardeners, and others who work in or around your private residence as your employee. Repairmen, plumbers, contractors, and other business people who provide their services as independent contractors, are not your employees.
Household workers are your employees if you can control not only the work they do but also how they do it.
Social Security and Medicare Taxes (Federal Insurance Contributions Act – FICA)
If you pay cash wages of $2,000 or more for 2017 (this threshold can change from year to year) to any one household employee, you generally must withhold 6.2% of social security and 1.45% of Medicare taxes (for a total of 7.65%) from all cash wages you pay to that employee.
You also must pay your share of social security and Medicare taxes, which is also 7.65% of cash wages. (Cash wages include wages you pay by check, money order, etc.) Unless you prefer to pay your employee's share of social security and Medicare taxes from your own funds, you should withhold 7.65% from each payment of cash wages you make.
You can find the specified dollar amounts and percentages under the topic "Do You Need To Pay Employment Taxes?" in Publication 926 (PDF), Household Employer's Tax Guide.
Pay the amount you withhold to the IRS with an additional 7.65% for your share of the taxes. If you pay your employee's share of social security and Medicare taxes from your own funds, the amounts you pay for your employee count as wages for purposes of the employees' income tax.
However, don't count them as social security and Medicare wages or as wages for federal unemployment tax.
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