Paying Taxes

[Guest]

As a home daycare provider, when you filed your taxes, did you actually pay the IRS taxes out of your pocket? If so, how much? Also, if you have your own biological kids, could you claim them and get earned income credit and child credit using your home daycare business?

If you did, how much did you actually get in your hometown?

I need to to know, since i am interested in starting a homedaycare in sept of 2010.

Thank you.

[Bob]

Just testing

Just testing.

[TomCopeland]

Starting Out

As a home daycare provider, when you filed your taxes, did you actually pay the IRS taxes out of your pocket? If so, how much? Also, if you have your own biological kids, could you claim them and get earned income credit and child credit using your home daycare business?

If you did, how much did you actually get in your hometown?

I need to to know, since i am interested in starting a homedaycare in sept of 2010.

Thank you.

How much you will pay in taxes depends on your business profit, other family income, family expenses, and more. Some providers have enough withheld by their spouses that they get refunds at the end of the year. You could qualify for the earned income credit. But you can only claim the child care tax credit if you pay someone outside your family to care for your own child. You can't claim this credit based on you caring for your own child.

[dave4him]

Is there a credit you can claim for caring for a child that is not yours?

[TomCopeland]

Credit for caring for another child

No, there is no tax credit for caring for a child who is not your own.