Category Archives: The IRS and Child Care Providers

How Will the Affordable Care Act Impact Child Care Professionals

Health Care ReformChild care professionals without health insurance can enroll to purchase insurance through their state health care exchanges.

Registration will continue until March 31, 2014. Insurance coverage will begin on January 1, 2014.

Those Not Affected
If you are already covered by health insurance through your spouse’s employer, or you are currently on Medicare or Medicaid, you do not have to do anything. You will keep your current insurance coverage and do not have to sign up to purchase different health insurance. Continue reading →

Tracking and Counting Hours

What Hours Can You Count When You Are Away From Home?

We’ve written about keeping track of your hours (https://childcaretaxspecialists.com/track-your-hours-even-when-children-arent-present/) but what about the hours you spend on business activities away from your home such as shopping for toys, picking up and dropping off children (if you offer that) or even attending seminars and workshops? Continue reading →

IRS Expands Relief to Child Care Providers Who Hire Assistants

Do you pay someone to help you care for children in your family child care business?  Are you treating them as an employee or independent contractor? Unfortunately, if you have not treated your workers as employees you run the risk of facing stiff penalties and interest if audited by the IRS – and the IRS can go back three years. This means you should have been withholding Social Security/Medicare taxes, paying federal and state unemployment taxes, and purchasing workers’ compensation insurance. Continue reading →