Is worker's compensation insurance a deductible expense for someone employing a household employee (nanny)?

[mavmoses07]

I employ a nanny to care for my one-year-old daughter. In the state of Colorado I'm required to have worker's compensation insurance. Is this insurance cost tax deductible? If so how would I deduct it? Is there any other cost associated with a household employee that is considered tax deductible?

[TaxGuyBill]

It is not tax deductible.  Sorry.

However, Worker's Compensation, the employer's portion of Social Security and Unemployment Insurance all count towards your expenses of having a Nanny.  If you qualify for the Child Care Credit, all of those expenses can be added to that.