@qresciar26 wrote:
Not sure if you read that correct. I said he kept my child while I worked. I have full custody of my child. I said CHILD DEPENDENT CARE CREDIT meaning child care...thank you for your input though.
Yes, I misunderstood the question.
If you paid your grandfather in your home, he is your household employee and you must issue him a W-2, even though he passed away. Whether or not it will be taxable will depend on his overall tax situation and his executor will take care of it.
If you paid him for care in his home, you don't need to issue any tax paperwork, you just need his SSN to claim the credit. As before, whether or not it will be taxable will depend on his overall tax situation and his executor will take care of it.
The IRS will not deny the credit just because the caregiver passed away.
