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Old 02-02-2006, 01:23 PM
Missy
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Default Re: Need help on how to report child care income?

DC wrote:

- quote -

> My wife and I pay her sister to take care of our kids while
> we are at work. This is her sisters only income. How do
> both (my wife and I) and her sister report this? Thanks for
> any help.


If your babysitter is in your home she is your employee and
you send her a form W-2. If she is sitting in her home you
do not send her one. You report it on form 2441. Either way
you need her name, address *and* social security number. Her
sister reports her forms W-2 on line 7 under wages. If it
is in her home she reports the income on schedule C (which
goes over to line 12 on the form 1040) and SE if necessary.

Missy Doyle

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >
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Old 02-02-2006, 12:55 AM
DC
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Posts: n/a
Default Need help on how to report child care income?

My wife and I pay her sister to take care of our kids while
we are at work. This is her sisters only income. How do
both (my wife and I) and her sister report this? Thanks for
any help.

DCrowe

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >
 

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