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I’m just setting up payment for a new nanny. I withhold taxes, so I pay her taxes on my already post-tax dollars. It drives me kind of crazy.
If you have two working parents or you are a single parent, you more or less need childcare to work. How is this not a business expense and tax-deductible? I guess that you could argue that you could get away with not having childcare, but you can also work from home and get away with not having a home office. Yet the home office is tax-deductible. And you could say that it’s a cost of living expense like food or rent, but it really isn’t. It’s an expense that I have because I am working. I just feel like the tax code is designed to penalize two income households. |
| Because ideally women should stay home barefoot and pregnant. |
| I think it's because having children is not a requirement for your job. |
| It is not optional for most people. It should be deductible. |
This is the answer. Children are a personal choice unrelated to employment. Childcare is no different than other personal nondeductible expenses which make it easier for people to work, like a home closer to your place of employment, a car to commute in, clothes to wear to work (if not a required uniform), a watch make sure you arrive at work on time, etc. Those are all personal, not business expenses. |
This. Some people choose to travel to work by car. That doesn’t make their car a work expense (aside from those who actually use the car for work purposes.) |
It’s this dear. OP must be a millennial to ask such a question. |
| Look into the childcare FSA for pre-tax childcare funds. It’s not a huge amount but it’s something child free people don’t get. |
| They want to reduce global populations, not enable them. |
+1 SMH. We're all doomed. |
| What "business" are you operating that you would deduct such expenses? |
| Are you for real? |
| You can deduct your child modeling expenses. |
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I mean, there’s an argument to be made that the government should incentivize population growth, so long as resources / infra can be sustained accordingly.
I get where OP is coming from. |
| (Satire) I know, let us have the government setup and manage subsidized child care, as in Sweden. That would work really well in a large diverse country like the USA. |