Effective October 1, 2021, Florida businesses are required to report independent contractors paid for services received that reach or exceed $600 within the calendar year. This reporting takes place through the same online site for reporting new hires. You will see an option to report an independent contractor or an employee. An independent contractor is a W9/1099 individual for which you are receiving services. An employee would be paid through payroll and receive a W2 at the end of the year. It is imperative to collect the W9 form before making a payment to an independent contractor. The information needed for the new reporting requirement can be found primarily on the completed W9 form. You will also need the date of services for the first payment made to the independent contractor. The business is required to report the hiring of an independent contractor to the state within 20 days or the earlier of:

  • The first date payment was made      OR
  • The date the parties enter into an agreement for services.
If you have paid independent contractors during 2021, you will need to review your vendors to see if the $600 threshold has been or will be met to determine if reporting is needed.
Click here to go to the site for reporting newly hired employees and independent contractors.