You do not provide any special documentation for the baby sitting income, with your tax forms. The schedule C covers that. However, if are using this income to claim the earned income Credit (EIC), it's a good idea to keep records of the income, in case of an audit. records of bank deposits are particularly helpful.31 May 2019
Do I have to pay taxes for my babysitter?
According to the IRS, babysitters do need to report their income when filing their taxes if they earned $400 or more (net income) for their work. This income is basically from self-employment so you don't have to issue Form 1099 if you pay a babysitter unless they earned $600 or more.According to the IRS, babysitters do need to report their income when filing their taxes if they earned $400 or more (net income) for their work. This income is basically from self-employmentself-employmentYou can claim 50% of what you pay in self-employment tax as an income tax deduction. For example, a $1,000 self-employment tax payment reduces taxable income by $500.https://turbotax.intuit.com › tax-tips › the-self-employment-taxThe Self-Employment Tax - TurboTax Tax Tips & Videos so you don't have to issue Form 1099 if you pay a babysitter unless they earned $600 or more.4 Mar 2020
Is a babysitter considered an independent contractor?
The simple answer is a nanny is NOT an independent contractor. A nanny, housekeeper, or home health aide that you hire directly is your employee under common law. It does not matter how many hours they work, whether the position is permanent or temporary, or how much you pay the worker.