Tax Tips for a Caregiver’s Business

 Caregiving Business

Caregivers sometimes take care of Alzheimer’s patients other than family, do housekeeping for them, provide shopping services for them or their families.  Whenever they receive payment, they’re considered as conducting a business, unless they’re working as an employee for an agency that does this type of work. 

Often they think because it’s a “little” business, they don’t have to worry about taxes.  However, under most circumstances, the IRS generally looks at it differently, and caregivers still do have to pay taxes and Social Security and develop a system of keeping track of income and expenses.

Jean Murray, at Home Biz Notes, has a great post with some initial tax information.  Check out 5 Myths About Work At Home Business Taxes.