Originally Posted by Unregistered:
This thread is helpful. It gives me a lot of things to think about! One of the question I have in mind is how unlicensed child care declare their income?
Most of the time they do not declare their income. Which is illegal, so on top of a person breaking the law, they could (SHOULD) be charged with tax evasion.
TO PARENTS READING NOW OR IN THE FUTURE: If your daycare tells you that you can't claim it on your taxes- they are operating ILLEGALLY. Give them a W-10 and they are REQUIRED to fill it out. If they refuse to do so, there are directions on the W-10 on how to file and claim it regardless, and how to report the provider for operating illegally. Keep track of your daycare expenses yourself.
I am getting a LOT of calls from parents seeking childcare because their daycare is saying "Oh sorry, you can't claim it with me."
If a person is lying to the IRS, and evading taxes AND/OR running an illegal business, I question their integrity and wouldn't want them watching my children.
It doesn't MATTER if you AGREE with the laws, you are still required to follow them.