Tax Statements

[allsmiles]

okay i have a client just started jan 1 and is asking for a statement of what ive received from her with my EIN number.. maybe she is not aware she cannot claim that until next year? should i refuse until next year? go ahead and give it to her and have her sign that that she paid me nothing in 2012? im already gonna owe so much.. i dont need her adding more income that i didnt even get.

[Meeko]

I would tell her that you are only giving out for 2012. She started in 2013.

[kskermit]

tax

I tell all my parents when they sign their contract with me that I will give them a tax form and their yearly totals after the end of each year.

[allsmiles]

thats what i was thinking my plan would be meeko.. this opens up an issue i didnt even realize.. so once somebody has your EIN number whats to keep them from saying they paid you money they didnt? how do you protect yourself? she is a first time mom and never paid for daycare before so im hoping she doesnt know.. but this makes me think

[Meeko]

thats what i was thinking my plan would be meeko.. this opens up an issue i didnt even realize.. so once somebody has your EIN number whats to keep them from saying they paid you money they didnt? how do you protect yourself? she is a first time mom and never paid for daycare before so im hoping she doesnt know.. but this makes me think

That's why I wouldn't give her anything.

I can't help but get the feeling she is doing her taxes right now and thinks if she has your EIN she can fudge her taxes/hike her refund if she says she paid you in 2012.

I would flat out refuse to give it to her until the end of this year.

It may be that she's just completely clueless, but I wouldn't take that risk and hand over my info.

[canadiancare]

I give my parents a receipt in the beginning of January for all income received the previous year (I have nothing better to do over the Christmas holidays)

It contains My name, address, SIN,

Received from __________the amount of ____________for child care provided to __________________________from the period of ______________to_______
signed Me

If the parents change your numbers that is illegal so their problem but it might cause you to be audited if things don't match up.


ETA I also tell my parents in December that if they want amounts included on that year's statement it has to be deposited by the 31st. (this applies if payday might fall in the new year)