TAXMAN Posted January 24, 2019 Report Share Posted January 24, 2019 I am somewhat perplexed. TP (93and ms) stayed in her home and had help coming in. Ok at this point. TP was moved to a private home along with 3 others. TP now paying about 3k more monthly but gets same medical care as before. Same person providing care before move is still same person after move. b4 move people providing care were either W-2 or 1099. Not sure what to do after move as all services are provided in 1 bill amount. So do I 1099 the person only on the service she is providing and the rest is nothing more than items you would have in a standard nursing home, or can I treat all the payment as nursing care in a home and no 1099 be issued? Your imput would be app. Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted January 25, 2019 Report Share Posted January 25, 2019 Maybe this will help. Has your client hired an independent caregiver? Is the caregiver an employee of another company providing the care? Knowing these answers will help. According to the IRS, if a privately hired / independent caregiver is paid more than $2,000 per year, they are considered to be a household employee, not an independent contractor. Therefore, the family hiring the independent caregiver takes on all the responsibilities of being an employer including payroll and taxes. Jul 1, 2017 2 Quote Link to comment Share on other sites More sharing options...
Lee B Posted January 25, 2019 Report Share Posted January 25, 2019 See IRS Pub 926 Quote Link to comment Share on other sites More sharing options...
TAXMAN Posted January 26, 2019 Author Report Share Posted January 26, 2019 Thanks all. A little more research on my part. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.