[Jbert]

I am still confused on the reporting of Social security and Medicare taxes. A visit to a local CPA did not help that much either, but here is what I think. My Son can file childcare on his taxes using form 2241 and then we must file what he gives us as income on our tax return.


BUT


To have the normal Taxes taken out of her payment, my Son must get a tax Number ( EIN )
Keep records and pay her taxes every quarter so her Withholding, Social Security, and Medicare can be registered. And then at years end issue my wife a w-2 or 1099-R for our taxes.



Am I close on this.



THANKS


JIM

[MukatA]

Please, what is your question?
The childcare that you receive for your son from your ex is not an income.

[Jbert]

Sorry for the confusion. My wife babysits for our Grandson. If our son claims childcare and we report the income on our return that is OK as I understand it.


BUT


What my wife needs is to also have taxes reported on her income so that she can update and earn Social Security for 6 more quarters.


If I understand it all correctly, my Son must get a Tax Number and then fill our forms each quarter and report it to IRS. Then at year end, issue my wife a w2.



Hope this explains a little more.


THANKS


JIM

[AtlantaTaxExpert]

JIM:

Your questions were answered by me via email.