1200 a month -CASH - 55 hrs a week

[Anonymous]

OP, you were a service provider, and this family was your client. They do not owe employer taxes on what they paid you. If you had watched their child in their home, then you would have been their employee, but that is not what you describe.

You were effectively running an unlicensed daycare out of your home. In most states, you can watch up to 2 unrelated children in your home without a license (VA calls this "regulated, but unlicensed" care), but in Maryland that doesn't appear to be the case. So, you're in a bit of bind here, but I highly doubt the family would report you as they aren't going to come out looking good in this situation either. You do, likely, owe taxes on the revenue of your business.

I'd just let them know that you are taking care of your own taxes and won't be supplying them with a SSN.

[Anonymous]

Anonymous wrote:OP, you were a service provider, and this family was your client. They do not owe employer taxes on what they paid you. If you had watched their child in their home, then you would have been their employee, but that is not what you describe.

You were effectively running an unlicensed daycare out of your home. In most states, you can watch up to 2 unrelated children in your home without a license (VA calls this "regulated, but unlicensed" care), but in Maryland that doesn't appear to be the case. So, you're in a bit of bind here, but I highly doubt the family would report you as they aren't going to come out looking good in this situation either. You do, likely, owe taxes on the revenue of your business.

I'd just let them know that you are taking care of your own taxes and won't be supplying them with a SSN.

They don't want her SSN for paying her taxes. They want it so they can claim the childcare tax credit, which requires that she have reported the money as income, so the IRS wants her SSN.