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Babysitter Tax Credit

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bim94
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Babysitter Tax Credit  Reply with quote  

My brother, age 16, babysat in 2006 for my wife while we worked. I paid a total of $3600 to him throughout the year for looking after 1 child. Is he an empoyee of mine and should I be required to pay social security taxes and other employer taxes? Or is he an independent contractor? If he is not an employee, where on 1040EZ does he report the income, or must he use another form? His W2 wages from another job amounted only to $2,000 and he was looking to file using the 1040EZ. Thanks in advance.
Post Sun Feb 11, 2007 1:21 pm
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bim94
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...I meant to say he baby sat for "my wife and I", meaning he looked after our daughter. Sorry
Post Sun Feb 11, 2007 1:25 pm
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efflandt
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What you need to do or document may depend whether you intend to deduct child care expense.

Look for the following question on http://www.irs.gov/faqs/faq7-1.html

"I am thinking of having a family member baby-sit for my child full time in their own home while I work. Are either of us responsible for taxes on the money I would pay? Can I claim this money as a child care expense even though my family member is not a registered day care provider?"
Post Sun Feb 11, 2007 7:26 pm
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MaRio8006
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BABYSITTER  Reply with quote  

quote:
Originally posted by bim94
My brother, age 16, babysat in 2006 for my wife while we worked. I paid a total of $3600 to him throughout the year for looking after 1 child. Is he an empoyee of mine and should I be required to pay social security taxes and other employer taxes? Or is he an independent contractor? If he is not an employee, where on 1040EZ does he report the income, or must he use another form? His W2 wages from another job amounted only to $2,000 and he was looking to file using the 1040EZ. Thanks in advance.


Hi1 I have 2 kids (3 and 5 years old) and a teenage babysitter wich I payd with 5 $ per hour. She's satisfied and makes a great job with the two children of my. So...I think this is the right price. But he's your brother man, let him go!
Post Tue Jul 28, 2009 2:27 pm
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coaster
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Mod's note = several urls were removed from the above post and also the above quote, added after the fact. DO NOT hide promotional urls within post text and DO NOT alter the words quoted from another post.

~Tim~
Post Tue Jul 28, 2009 2:33 pm
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Suzie5
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Best to check it out with the IRS so both your returns are correct.
Post Fri May 21, 2010 11:52 am
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calbeach
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quote:
Originally posted by Suzie5
Best to check it out with the IRS so both your returns are correct.


Yes. Better consult the bureau to avoid mistakes.
Post Wed May 26, 2010 9:28 am
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mukeshkkashyap
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quote:
Originally posted by coaster
Mod's note = several urls were removed from the above post and also the above quote, added after the fact. DO NOT hide promotional urls within post text and DO NOT alter the words quoted from another post.


Yes. Better consult the bureau to avoid mistakes.
Post Fri May 28, 2010 11:06 am
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Elena C.
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I just went through the same thing last year. Basically, he's supposed to declare anything over $600 of income and pay taxes on it. I think the pressure is more on him to declare the income rather than on you. However, if he filled out a W-9 and if you claim these payments as being to an employee on your taxes (which it sounds like is not the case) then it becomes a little more complicated. If that's the case, I'd ask your accountant.

In my situation, I had my nanny fill out a W-9 and I was supposed to be putting away money to pay her taxes come April 15. It kind of slipped my mind and I was hit with an unpleasant bill come tax time. Be careful!
Post Thu Oct 14, 2010 1:25 am
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