Skip to main content
December 30, 2021
Question

If a business provides labor workers only, are they required to charge taxes? Note: using client's equipment.

  • December 30, 2021
  • 2 replies
  • 0 views
The business is providing employees to client for property groundskeeper maintenance. The employees are using the client's equipment. Is the business supposed to charge tax to the client for the labor workers?

2 replies

December 30, 2021

Hello there, jjreigh33-yahoo-.

 

I know how important for your business to be tax compliant. I can route you to the correct support to guide you with charging tax.

 

Labor is taxed depending on the circumstances where it's performed. To avoid any potential tax penalties, I recommend contacting the IRS directly. They can give you precise information on how to pay your business and labor taxes.

 

I've also included the following link for more information on paying and submitting payroll taxes in QuickBooks Online: Pay and file payroll taxes and forms in Online Payroll.

 

Let me know if you need further assistance with labor taxes or setting up taxes. I'm always here to help.

Rainflurry
December 30, 2021

Different states have different requirements for the collection of taxes when providing services.  Contact your state to see what is required.