Yes. Or more accurately you may use what you pay him, up to $6000 (2 or more kids), to calculate the dependent care credit. You will have to provide his SS# on the tax form ( form 2441). This assumes your brother is not your dependent.
Does he have to report the income and pay tax? Technically yes, there is no age limit in the U.S. income tax system. If he babysits in his home, he is considered self employed and has to file if he has more than $400 of income for the year. He will not owe any income tax, but he will have to pay FICA (social security and medicare) tax in the form of self employment tax (SET). If he watches the kids in your home, he is considered a household employee. Household employees under 18 are exempt from FICA. A household employee with less than $12,200 of income does not need to file.
