FEIN - Parents False Reporting Income

[Unregistered]

Once we give a parent our year end receipt, W-10, whatever with our FEIN number on it, how can we be sure that they are only reporting that amount on their taxes?

For instance, if they came to me for the last 6 months of the year and another provider before, how can I be sure they aren't lumping it all under me. AND if they do, will that trigger an audit on me?

[DaycareMama]

I have the parent sign two copies of my year end report. One for them and one for me. On the report I put their start and end date for the year, what they pay aweek and how much was paid total for the year.

If anything ever happens like that and I get audited they signed off on all my info as being true.

Hope this helps

[TomCopeland]

parent receipt

DaycareMoma has the right idea.

[wdmmom]

I keep a receipt book. I log each payment made into an excel spreadsheet and print this out at the end of the year.

It shows each payment made, the amount and the date it was received.