Which TurboTax Product to use?

[asimraja]

I plan to file my wife and my taxes jointly. My wife didn’t work.

However, the one change in our status is that I had to create a tax entity to hire an employee to take care of my late mother. My tax entity did not have any revenue. We only created it because we hired someone. To handle the payroll and pay taxes, I had used Sure Payroll for 2018

I have following questions:

1) Which one of the TurboTax product should I use?

2) Given that SurePayroll took care of payroll and taxes for the tax entity, do I only have to file our joint personal taxes? 

3) Assuming that I have to file only our joint personal taxes, is there a form that I should fill out to indicate that I have already paid taxes for the business entity? 

I want to make sure that I file taxes correctly. Yet, I don't want to pay double taxes for the tax entity.

[IsabellaG]

Any version of TurboTax Online, from Deluxe on up, can handle this situation. If you purchase a CD/Download version, any version can handle this.

I think that when you say "tax entity" you mean that you obtained an EIN (Employer Identification Number) to pay your caregiver. You didn't incorporate or file to become a  business, you just needed that number to pay your household employee.

See this link from Sure Payroll. It refers to "Nanny" Payroll, but it means any kind of household help. Your payroll service will have performed all of the requirements of the IRS to keep track of your payroll. They've even provided a W-2 to your employee and sent the withholding to the IRS. 

However, see the information about Schedule H. When your household employee earns cash wages of $2,100 or more (in 2018) you’ll need to fill out and file a Schedule H with the IRS. This form is completed in TurboTax. Schedule H gets attached to your federal tax form 1040. So you don't need to file a different type of return to report this information.

There are two steps to do this. First, you report the "Nanny Tax" on your return. This will make your taxes go up! But next, you report the payroll taxes that were withheld by Sure Payroll, which results in a prepayment credit, so all of your taxes should be taken care of.

Report the Household Help tax in the Federal Tax Section.

1. Select Other Tax Situations.
2. Click on Additional Tax Payments.
3. Start Nanny and Household Employee Tax.
4. Go through the interview, enter your EIN, and enter all the relevant information. This will create Schedule H.

Next, get credit for the tax you've already paid:

1. Go to Deductions and Credits.
2. Start or Edit  Estimates and Other Taxes Paid.
3.  Select  Estimates
4. Select Federal estimated taxes for 2018 (Form 1040ES)
5. Enter how much you paid in each quarter for your household help.

[KarenNC]

One more thing to consider is whether or not the expenses you paid for someone to care for your parent would be eligible for the Child and Dependent Care Credit. There's more info here: https://turbotax.intuit.com/tax-tips/family/steps-to-claiming-an-elderly-parent-as-a-dependent/L34je...