Babysitter will not allow me to claim her wages on income tax...what should I do?

Question

This is in response to "W", the person that asked me to define babysitter:

Why should I have to define "babysitter"??? It already has a definition. You don't know the definition???
She keeps my daughter while I WORK. Do I need to define "work" for you, also??
I don't need a babysitter while I "go out shopping or go to the movies" because I WORK too much to take the time to do that very often. On the rare occassions that I do have time to do that, I don't need a babysitter because I take my child with me to those places.

I wasn't asking if my payments to her were deductible. Read the question carefully. You wrote all that crap and you did not answer my question at all. I did get some helpful answers from a few other folks, though, and I thank them very much.

Answer 1

I would download a form W-10 from the IRS web site. (available at http://www.irs.gov/pub/irs-pdf/fw10.pdf ). Fill out part II, and then present the form to her to fill out part I and return. This form asks for all the information you need, as well as explaining why the information is requested.

If they don't return the form, that's powerful evidence that you attempted all reasonable measures to obtain the information. You'll then be able to file Form 2441 or Schedule 2 and claim the dependant care credit based on the information you do have.

Oh, keep in mind if you are unable to obtain a SSN (or EIN), then you'll have to do a paper filing of your tax return, as you cannot electronically file without the SSN.

Answer 2

I don't think he said that. Where's your source? If you are talking about the top 1 or 2% of incomes, those are not wages. Investment income is not the same thing as wages. If you want a larger segment of the population to pay some federal income tax, perhaps you should advocate getting rid of child deductions. I think the problem is not that the upper income folks don't pay their fair share of taxes but that too much wealth is going to the top quintile. Our tax code needs to be overhauled so that companies will have the incentive to make capital investments instead of paying out huge dividends and multimillion dollar salaries to management. We also should remember that while income tax is progressive, meaning the more you make the more you pay, other taxes are regressive, meaning the poorer you are the higher percentage of your income goes to those taxes. Examples are gas tax, utility taxes, property taxes (as part of rent), and sales tax. In Mississippi, even grocery staples like bread and milk are taxed!

Answer 3

The babysitter has no say in the matter. I'm assuming that you are trying to claim the Child & Dependent Care Credit. The form requires you to list the babysitter's SSN to claim the credit.

The babysitter MUST provide her SSN upon request. If she does not, attach a statement giving the sitter's name and address and state that she refuses your requests for her SSN. Tell her that you WILL be claiming the credit and giving the IRS her name and address so it would be in her best interest to give you her SSN and claim the income on her tax return as the IRS will be given the information.

Answer 4

How can she stop you? If she won't give you her social security number (by law she must if you request it), read page 208 and 209 of IRS Publication 17 for more info on how to still claim the credit. You should have gotten this info from her when she first started babysitting for you though.

You do realize that if she is babysitting in your home, she is most likely a household employee, and you should be deducting taxes from her wages, and paying the employer match for social security and medicare?

Answer 5

The babysitter doesn't really have a choice. By law, day care providers including babysitters are required to provide their tax ID number (see form W-9 instructions.) failure to provide this information can result in penalties (for the babysitter)

You do not need this information to claim the child care credit (Form 2441). You can file your tax return with out this information. Just document what steps you took to obtain this information. You will need to provide name and address. You cannot electronically file the return without the EIN or SS#.

Answer 6

Define Babysitting

Answer 7

Consult a tax person and ask if she is allowed to deny you this information.

Answer 8

first find out if youll get money back from the irs if you claim with this sitter. usually when this happens the sitter is charging less so there is no point in claiming the child care, ten dollars a week less then others will mean your make more money in the end then the irs will give you back. if not, then get another sitter cause she dont want to file most likely cause she cant save her money to pay her own taxes.

Answer 9

Well define babysitter. If she is just keeping your kids while you go out shopping or to the movies, then your payments are not deductible to you so you can't claim them.
If she or he is providing child care for you and you are working then they are deductible. You should note however that you are required to pay FICA taxes or her earning and deuct the appropriate taxes from her. You might find out that it isn't worth the trouble.

Answer 10

Pay her less than what she wants. If her fees are the 'going rate', you are entitled to claim the income tax deduction for child care. She's trying to have her cake and eat it as well.