If she works in her own home then she is self-employed, not you household employee. And no, you do not provide a 1099-MISC - she simply reports her income on a schedule C. 1099-MISC form are only issued by businesses during the course of doing business - individuals that are not themselves businesses do not issue 1099-MISC forms and the nanny-babysitter does not need one to report income.
The IRS defines a baby sitter the same as a child care provider. A "nanny" typically works in the child's home, when they work in their own home they are a baby-sitter or child care provider - the rules are the same for both of those, but a child care provider usually cares for more than one child, but do not have to. (A child care provider might have different local requirements such as licenses and inspections but for tax purposes it makes no difference.)
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
