Preheat your oven to 350°F (175°C). In a large mixing bowl, whisk together the all-purpose flour, cocoa powder, baking powder, and salt until well combined.

In a separate bowl, cream together granulated sugar and softened unsalted butter until light and fluffy. Add in room temperature eggs one at a time, mixing well after each addition.

Gradually combine the wet and dry ingredients, then carefully stir in hot water until your batter is smooth and glossy.

Grease and line two 9-inch round cake pans with parchment paper, then evenly pour the chocolate batter into the prepared pans.

Place them in the preheated oven and bake for 30-35 minutes, or until a toothpick inserted in the center comes out clean.

Once baked, remove the cakes from the oven and allow them to cool in the pans for about 10 minutes before transferring them to a wire rack to cool completely.

While the cakes cool, prepare the caramel frosting. Beat the softened unsalted butter until creamy, then gradually add powdered sugar and continue mixing until well blended.

Pour in your caramel sauce, beating the mixture until it is fluffy and spreadable. If necessary, adjust the consistency with a little extra milk.

Once the cake layers are completely cooled, place one layer on a serving platter. Generously spread a layer of the caramel frosting on top.

Carefully add the second layer, and use the remaining frosting to coat the top and sides of the cake.

For a delightful crunch, sprinkle toffee bits liberally on the frosting.

Slice into the cake and serve it with a glass of cold milk or a hot cup of coffee.