Tax Question?
Tax Question?
I babysit and did not plan on filing taxes for certain reasons. If the people I babysit for use my Social Security Number and file the childcare tax credit will my income be cross referenced and put into my IRS file automatically?
The reason that I was not going to file was that I did not claim the money for my childrens Medicaid all this year. I think I can get in trouble for that.
If I did not pay taxes on any of this money that I got wont I owe them money?
I do have 2 children and I am a single mom.
Where can I find Info on home childcare taxes?
So the minimum income does not apply to me since I am self employed? Im confused....
I meant the not having to file minimum income.
Answers:
taustin288: as long as you make less than the individual personal exemption amount you dont need to file. you can check irs.gov to verify that amount
2006-03-20 11:04:20
2006-03-20 11:04:20
Chosen Answer
jen: Yes. Any money that is attached to your social and is turned into the IRS goes in your file. Go ahead and claim the money. Put it on a schedule c fill out the 8829 business use of your home. You can take meals, cable,electric,phone,and toys that you bought as long as the kids you watched were aloud to use them. There is so much you can deduct. BE careful if you get the earned income credit you do not want your income to be to low or you will get less back. If you earned to much for the credit it might get you low enough to get it.What are the reasons you did not want to claim it. If it is the tax your expenses should take care of that. We try to get more stay at home moms to babysit it is a great tax write off. Meals you can take off the meals that you feed them also. You can take the miles to get the toys and food off there is so much. I'll be watching to see if you put any more info in. What the guy said is not true. Well it is if you are a w-2 employee. If you got pd cash you are not. If you got pd cash and made over 400 then you have to file a tax return. The reason is you have not pd social secutity and medicare tax. I'm not sure how that will affect the kids medicade. If you show that you actualy did not make any money eventhough you got pd. It might not matter? I dont know. If they ask you can just tell the truth yes you got pd. but you spent all of the money on taking care of the kids. Go to IRS.GOV pub 587 is the business use of you home and form 8829 is the form you will fill out for the business use of your home part. Ypu can also type in childcare in my home in the keywords box and see some of the topics they have listed. With all of the deductions that you are aloud to take there is a good chance that you will not owe money but show a loss. Any toy you bought you can write off as long as the kids you watched were aloud to use it (outside toys,swing set ect)
2006-03-20 11:36:11
jen: Yes. Any money that is attached to your social and is turned into the IRS goes in your file. Go ahead and claim the money. Put it on a schedule c fill out the 8829 business use of your home. You can take meals, cable,electric,phone,and toys that you bought as long as the kids you watched were aloud to use them. There is so much you can deduct. BE careful if you get the earned income credit you do not want your income to be to low or you will get less back. If you earned to much for the credit it might get you low enough to get it.What are the reasons you did not want to claim it. If it is the tax your expenses should take care of that. We try to get more stay at home moms to babysit it is a great tax write off. Meals you can take off the meals that you feed them also. You can take the miles to get the toys and food off there is so much. I'll be watching to see if you put any more info in. What the guy said is not true. Well it is if you are a w-2 employee. If you got pd cash you are not. If you got pd cash and made over 400 then you have to file a tax return. The reason is you have not pd social secutity and medicare tax. I'm not sure how that will affect the kids medicade. If you show that you actualy did not make any money eventhough you got pd. It might not matter? I dont know. If they ask you can just tell the truth yes you got pd. but you spent all of the money on taking care of the kids. Go to IRS.GOV pub 587 is the business use of you home and form 8829 is the form you will fill out for the business use of your home part. Ypu can also type in childcare in my home in the keywords box and see some of the topics they have listed. With all of the deductions that you are aloud to take there is a good chance that you will not owe money but show a loss. Any toy you bought you can write off as long as the kids you watched were aloud to use it (outside toys,swing set ect)
2006-03-20 11:36:11