You'll need to sign in or create an account to connect with an expert.
No, the IRS requires that all income individual receives is reported on their tax return. The $400 you refer to is the limit under which a self-employed individual does not have to file self-employment taxes. Your friend has to report her income from babysitting on her tax return.
Babysitting income is self-employment income and should be included on your tax return. The IRS requires you to file if you had at least $400 in net earnings from self-employment (income minus expenses).
It's under $400 so she doesn't need to claim it right? I'm asking because she already filed with her husband (her $0 income and his income from his job) and I get $50 from my child care tax credit if I include it in my list of childcare expenses but I don't want her to get audited if I put her down and she hasn't claimed the income.
No, the IRS requires that all income individual receives is reported on their tax return. The $400 you refer to is the limit under which a self-employed individual does not have to file self-employment taxes. Your friend has to report her income from babysitting on her tax return.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
user17549282037
New Member
Dnmck1
Returning Member
in [Event] Ask the Experts: Tax Law Changes - One Big Beautiful Bill
tbduvall
Level 4
in [Event] Ask the Experts: Tax Law Changes - One Big Beautiful Bill
krizorilla-imp
New Member
glancees
Level 1