No, you are not required to. You may use 1099-Misc if you choose. Income would go in Box 7.
You would claim expenses on form 2441, Child and Dependent Care Expenses.
Under Deductions and Credits
- You and Your Family
- Child and Dependent Care Credit
The program will ask several questions and your wife must be incapable of self-care.
Based on the IRS definition, it means not being able to do normal everyday activities without someone's help due to physical or mental limitations. This can include:
* Individuals who can't dress, clean, or feed themselves because they are physically not capable.
* Individuals who can't dress, clean, or feed themselves because they are mentally not capable.
* Individuals who need constant monitoring to prevent them from injuring themselves.
Here is a list of people to whom you must issue a 1099-Misc.
File Form 1099-MISC, Miscellaneous Income, for each person to whom you have paid during the year:
- At least $10 in royalties (see the instructions for box 2) or broker payments in lieu of dividends or tax-exempt interest (see the instructions for box 8);
- At least $600 in:
- Rents (box 1);
- Services performed by someone who is not your employee (including parts and materials), box 7;
- Prizes and awards (see instructions for boxes
- Other income payments (box 3);
- Medical and health care payments (box 6);
- Crop insurance proceeds (box 10);
- Cash payments for fish (or other aquatic life) you purchase from anyone engaged in the trade or business of catching fish (box 7);
- Generally, the cash paid from a notional principal contract to an individual, partnership, or estate (box 3);
- Payments to an attorney. See Payments to attorneys, later; or
- Any fishing boat proceeds (box 5).
In addition, use Form 1099-MISC to report that you made direct sales of at least $5,000 of consumer products to a buyer for resale anywhere other than a permanent retail establishment (box 9).