Ask TaxMama.Com Tax Information With A Mother's Touch Published by Eva Rosenberg, MBA, EA

Oh Kaye Kotts Winner! Winner! Winner! Paying Yourself? Flat in New York City CONDOlences Caring for My Wife   The Non-Taxpaying Class   No Accounting for Golf   E-Mail  This Page To A Friend Your email: Your name: TO email:

Caring for My Wife » From: Indianola, MS Dear TaxMama: Is paying for someone to stay with your spouse, who is disabled, tax deductable? Don Dear Don, Yes. You bet! If you do it right, either by setting them up on payroll (use IRS Schedule H and the related state forms), or by paying a service or registry for their staff. The deduction will be taken on Schedule A as a medical expense. You'll be able to deduct the payroll taxes as well. You may also decide to use the first $2400 of the costs towards the Dependent Care Credit on Form 2441. I suggest that you get the help of a good Tax Pro with this. Frankly that form is so annoying that we avoid it whenever possible. We just run the payroll through our clients' businesses and remove the expenses from the business' books before computing their taxable profits. Best wishes, Eva Rosenberg Your TaxMama

Library of Congress -  ISSN 1532-0790 Copyright © 2000-2003 - Eva Rosenberg

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