A) Independent contractors pay Social Security and Medicare tax of 15.3%. Independent contractors are responsible for their own Social Security taxes and Medicare taxes which are paid as a "self employment" tax in addition to income taxes.
The following individuals maintained offices in their home: (1) Dr. Austin is a self-employed surgeon who performs surgery at four hospitals. He uses his home for administrative duties as he does not have an office in any of the hospitals. (2) June, who is a self-employed plumber, earns her living in her customer's homes.