Are you getting a w-2 because you provide In-Home Supportive Services? If you do not pay taxes on this income, can you still get an earned income credit? And child tax credit? There is not (yet) a published IRS regulation on this topic. However, in this court ruling, it was found that tax credits can be claimed. Please consult with your Yessenias Income agent for more information on In-Home Supportive Services.
IHSS In-Home Supportive Services payments can still be included on taxes and excluded from gross income. This is critical because they still can affect the tax credits or other tax-related matters, such as qualifying income for contributing to a Roth IRA. Make sure to bring in all your forms when you come to do your income taxes so that a tax consultant can go over the benefits and help you get the maximum refund you qualify for.
See more information on Medicaid Waiver Payments May Be Excludable on the IRS website. This is new information relating to this subject. It is important to file your income tax and remind your tax preparer about IHHS services you are providing for your clients. If you come to Yessenias our agents will remind you if you provide this service as we like to go into detail with our customers and find them the maximum return. If you are not a customer come to one of our offices for a free estimate. In-Home Supportive Services is a very complex topic and we are here to help.