Child Care Resource & Referral Banner
Skip to Navigation
   
   

 

 

 

Sitting down to do taxes is not a job everyone looks forward to. It is, however, a critical part of running your child care business. It is thought that many providers are not aware of the tax rules, don’t take the deductions they are entitled to, and end up paying more taxes than they need to. This is money right out of your pocket.

The child care business has tax rules that don’t apply to many other small businesses. That is why it is so important to find a tax preparer that knows the child care rules. Ask the tax preparer if he/she has prepared provider taxes and ask for a reference(s).

An excellent source of tax information and preparation is the Family Child Care 200X Tax Workbook and Organizer by Tom Copeland. It has tear-out forms/schedules and walks you through them using child care examples. A new book is published for every tax year and highlights new child care business tax laws for that tax year. It can be ordered from Redleaf Press at www.redleafpress.org or 800-423-8309.

Providers who use a tax preparer should order Family Child Care Tax Companion also by Copeland. It contains a greatly expanded Tax Organizer which will help you and your preparer avoid mistakes. An updated version is published annually.

Listed below are the IRS Tax Forms and Schedules that you may use in the child care business. Remember there may also be state or local forms. Always consult your tax preparer on specific questions. Forms, instructions and publications can be found at www.irs.gov.

Income Tax Forms  
     
Form W-10 Dependent Care Provider’s Identification and Certification (Keep for your records)
IRS 1040 U.S. Individual Income Tax Return
  Schedule A Itemized Deductions
  Schedule B Interest and Ordinary Dividends
  Schedule C Profit or Loss from Business
  Schedule D Capital Gains and Losses
  Schedule SE Self Employment tax
  Schedule EIC Earned Income Credit
Form 4562 Depreciation and Amortization
Form 8829 Expenses for Business Use of Your Home
     
Employment and Tax Forms
  Employment Eligibility Verification
  Form SS-4 Application for Employer Identification Number
  Form W-4 Employee’s Withholding Allowance Certificate
  Form 940 Employer’s Annual Federal Unemployment (FUTA) Tax Return
  Form 941 Employer’s Quarterly Federal Tax Return
  Form 944 Employer’s Annual Federal Tax Return
     

 

Back Button

[About Us] [Contact Us] [Site Map] [Site Search] [Home]


Disclaimer / Privacy Statement
Copyright © 2007 Child Care Resource and Referral
All Rights Reserved