Does IRS Know Your Business? ?

[Unregistered]

If you watch a few kids at your home, do you report it to taxes?? Not trying to call anyone out but I figure most of us are anonymous on here so it's OK to ask...:-)

[Familycare71]

If you watch a few kids at your home, do you report it to taxes?? Not trying to call anyone out but I figure most of us are anonymous on here so it's OK to ask...:-)

Personally I do. No matter how many kids I have had in care I have always done it. For me it is actually a Biblical/moral issue in addition to a legal one

[MyAngels]

Yes, I do. The last thing you want to do is get on the bad side of the IRS. It's unbelievable the powers that they have to collect, and how unreasonable they can be if they decide to come after you. I have a brother who is self-employed and they have made it virtually impossible for him to have a normal, functioning financial life until he gets them paid off. All because he didn't report some income and they figured it out.

[Lyss]

I have a small group but I claim it all and give parents my EIN at the end of the year. I don't do under the table payments with parents, I've had a few offer but I always decline or claim the income anyway.

[BABYLUVER21]

I always reported and ALWAYS used a hired CPA. Less chance of audits and issues even if there are errors when you report and then hire a good, reliable professional

[Play Care]

I always reported and ALWAYS used a hired CPA. Less chance of audits and issues even if there are errors when you report and then hire a good, reliable professional

[MsLaura529]

Not to hi-jack, but on a side-note .. how do you get an EIN?

[wonderfullisa]

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/How-to-Apply-for-an-EIN

[sharlan]

Yes, they do. I've been audited several times, but never anything to do with my daycare.

[MamaBearCanada]

I'm in Canada and I have always reported the income even if I've only had one DCK and my own

[TheGoodLife]

I have an EIN so I don't have to use my social, but I report all my income- I had one family last year who came for 2 days and I forgot to report that, but other than that its all reported whether they turn it in or not- that's up to them!!

[EntropyControlSpecialist]

Personally I do. No matter how many kids I have had in care I have always done it. For me it is actually a Biblical/moral issue in addition to a legal one

Me, too.

[MrsSteinel'sHouse]

Absolutely! I claim my income and parents claim their childcare cost.

[MsLaura529]

http://www.irs.gov/Businesses/Small-...ply-for-an-EIN

Thank you

[MotherNature]

I have a small group but I claim it all and give parents my EIN at the end of the year. I don't do under the table payments with parents, I've had a few offer but I always decline or claim the income anyway.

me too, though this year I'm probably going to get professional tax advice, especially because I'm inheriting money since my grandma died.