You are correct. To change to a joint venture, you will split all of the income and expenses by the same percentages, and you can decide what that is (50-50, 60-40, etc.), which will then be reported on separate Schedules C for you and your wife. You will also need to send a statement to the IRS that says you wish for your business to be treated as a joint venture. But your question does give a good reason for doing so: to claim the child care credit which requires that you both are either working or in school qualifying for work. Here is some additional information I provided on this subject in an answer I've given previously: https://ttlc.intuit.com/replies/5717482
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