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Daycare and Taxes>Food Program
awestbrook713 07:39 AM 10-19-2011
I participate in the food program and have a question. I was reading through my redleaf calender keeper and see it says the money I received from the food program for my own children is not taxable. I use the MMK program and put my food program income into other income, when I do this should for example: August payment was 258.17. 126.75 of this is for meals fed to my own 3 children, do I subtract that amount from the total and put the remaining 131.42 as the income? Sorry if this is confusing, I just want to make sure I understand this and am recording my income correctly.
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squareone 08:19 AM 10-19-2011
So your own children qualify to participate in the food program?
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TomCopeland 08:35 AM 10-19-2011
Yes, subtract the money you receive from the Food Program for your own children, from the total amount you received. The result is your taxable income, in your case $131.42.
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awestbrook713 10:03 AM 10-19-2011
Yes my children qualify. As long as I am feeding a day care child the meals I feed my children count as well.

Thank you Tom.
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Unregistered 03:20 PM 11-02-2011
I participate in the food program as well. I had the same question as the previous poster. So, thank you for already answering my question.

My second question for this would be. I use MMK (it's been fantastic!) But when I enter in a food purchase (in the record expense section) it doesn't show in the amount as a 100% business expense to the right. (I purchase food separate from my family food.) Am I doing something incorrectly?

Are all food purchases 100% deductible? I thought they were if used 100% for business?

Is there anything else useful to know about food expenses and taxes?
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TomCopeland 02:35 PM 11-04-2011
Originally Posted by Unregistered:
I participate in the food program as well. I had the same question as the previous poster. So, thank you for already answering my question.

My second question for this would be. I use MMK (it's been fantastic!) But when I enter in a food purchase (in the record expense section) it doesn't show in the amount as a 100% business expense to the right. (I purchase food separate from my family food.) Am I doing something incorrectly?

Are all food purchases 100% deductible? I thought they were if used 100% for business?

Is there anything else useful to know about food expenses and taxes?
You can enter that your food expense is 100% business by entering "100%" when asked how much of the expense is business. Only food eaten by day care children is deductible. Food eaten by you or your own children is never a deduction. I've written about claiming food expenses on my blog:http://www.tomcopelandblog.com/food-...-expenses.html
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Tags:cacfp, taxable income
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