My wife and I both have full-time job, we are hiring someone taking care of our 10 months old son for the last 7 months and paid the babysit cash, we have no receipt from her. Can I claim child care credit on my tax retrurn if I don't have any receipt from the babysit?
2007-01-22 06:32:11 · 8 answers · asked by ChildCare 2 in Business & Finance ➔ Taxes ➔ United States
If the babysit does not want to claim this money as her income, and does not want to provide SSN and receipt to me. Can I still file for child-care credit on my return?
2007-01-22 07:05:50 · update #1
Yes you can, but make sure you talk to the babysitter before you do this. When you include her social security number on the return it will be shown as income to her. She will then have to report all of this money on her return and might end up owing some money depending on how much she made.
2007-01-22 06:37:24 · answer #1 · answered by Ski_Bum 3 · 0⤊ 0⤋
Yes: But you will have to show proof of payment at the audit. Write a letter stating that you paid XXX a certain amount of money XYX during the year of 2006. Have this person sign this letter and notarized, this is enough to make the Tax people smile.
2007-01-22 06:39:11 · answer #2 · answered by whatevit 5 · 0⤊ 0⤋
Send her a 10-99 and she'll have to claim the income and you can claim the child care credit. Just be able to prove it if you get audited. Keep in mind if you claim it and they question her, she might demand more money or tell you to find someone else to watch your child.
2007-01-22 06:37:32 · answer #3 · answered by justme 6 · 0⤊ 0⤋
You declare the baby tax credit. in case you declare her as a man or woman offering baby care she would be ready to owe taxes on the quantities you paid to her. she would be ready to additionally could desire to record this as earnings. She is truly babysitting. She would not have a employer. She additionally could could desire to declare earnings from the foster-childs mom and dad.
2016-11-26 19:20:52 · answer #4 · answered by ? 4 · 0⤊ 0⤋
You need to give the provider's social security number and address when you file so you will need that.
Also, if the service was provided in your home, you will have "Household Employee" issues which can be really fun.
I suggest that you go to IRS.gov and search for "household employee".
2007-01-22 06:36:46 · answer #5 · answered by Wayne Z 7 · 1⤊ 0⤋
call the baby sitter and ask her to write a reciept or just write a handwritten reciept and have her sign it. heck just write it and sign any name on it. they're not going to call anyone about 20$ a week.
2007-01-22 06:37:14 · answer #6 · answered by Anonymous · 0⤊ 0⤋
As long as you have her SS number.
2007-01-22 06:35:18 · answer #7 · answered by disturbed 3 · 0⤊ 0⤋
No.
2007-01-22 06:40:31 · answer #8 · answered by greentigereyeddragon 2 · 0⤊ 0⤋