Gift Question for Tom Copeland

[grandmom]

Tom, I know we can only gift $25 per child per year.

Can I deduct $25 toward a high school graduate who grew up in my daycare?

Thanks.

[Thriftylady]

I'm not Tom! I am just going to say I am guessing the answer would be no, since it isn't a child currently in your care. But wait for his answer because I could be very wrong!

[AmyKidsCo]

I would agree, unless maybe you could finagle it into a marketing expense?

Tom once pointed out that we can only spend $25 on gifts, but if a child opens a gift in our programs it can be deducted as an activity rather than a gift. Smart man, that Tom.

[Unregistered]

I had no idea we could only put $25 toward gifts! Each kids gifts is about $25 for christmas then for their birthday plus we give baskets on Easter and Thanksgiving (that are around $10 each) and I give each kids a gift when leaving!

Is there any ways to write these off taxes?

[Michael]

I had no idea we could only put $25 toward gifts! Each kids gifts is about $25 for christmas then for their birthday plus we give baskets on Easter and Thanksgiving (that are around $10 each) and I give each kids a gift when leaving!

Is there any ways to write these off taxes?

Here's Tom's thread on deducting gifts: https://www.daycare.com/forum/showthread.php?t=80982

[Thriftylady]

I had no idea we could only put $25 toward gifts! Each kids gifts is about $25 for christmas then for their birthday plus we give baskets on Easter and Thanksgiving (that are around $10 each) and I give each kids a gift when leaving!

Is there any ways to write these off taxes?

The big way to write them off is to make gifts a daycare activity. So for birthdays, maybe plan a special craft you can all do together.

[grandmom]

Here's Tom's thread on deducting gifts: https://www.daycare.com/forum/showthread.php?t=80982

That's on receiving gifts.

[AmyKidsCo]

The big way to write them off is to make gifts a daycare activity. So for birthdays, maybe plan a special craft you can all do together.

Yup! Or have a birthday "party" for the child and have him/her open the gift as one of the activities.