I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms

I did in-home care/maid work for an elderly gentlemen. He paid me under the table,a total of $7000 for the year of 2007. Now, I would like to get the Child Earned Income Credit because I have a 3 year old son; What forms do I need to do so?

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

Report the $7,000 as income on your Form 1040. Your employer should have issued you a W-2, but since he didn%26#039;t, you%26#039;ll have to report it as self-employment income. If you have any related expenses, you can deduct those from your income on Schedule C. It sounds like you can file as Head of Household, so you won%26#039;t owe income tax; however you may owe a little self-employment tax.

By the way, Judy, just below is absolutely right on in her assessment of you taking advantage of the system. Hard working people pay taxes. That%26#039;s what makes our country able to function. You AND your employer are committing tax fraud by not reporting the income, and it%26#039;s just awful that you find out you might get some money back from the government, and then, and ONLY then do you decide you might want to file. Do the right thing, now, and from now on.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

You will need a 1099 from the employer of the $7000.00

to show proof of the income. then you submit it with your income tax.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

You and your employer need to try honesty. It works better in the long run.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

If you got paid under the table you already got your EIC. You already didn%26#039;t have to pay into Social Security %26amp; Medicare.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

You%26#039;d need to claim your income on a schedule C or C-EZ and pay self-employment tax on it, using a schedule SE. The you%26#039;d use schedule EIC to calculate your earned income credit. You%26#039;ll file a form 1040 to pull it all together.

Real nice. You are perfectly willing to commit tax fraud by working under the table and not reporting your income, but as soon as you find out that you can get money thru EIC, all of a sudden you want that from the same system you%26#039;ve been cheating.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

You would file a Schedule C, reporting the income. You could take any related expenses against the income if you had any auto mileage or out of pocket costs. The problem is, you have to pay Self Employment tax, (social secutity) on the profit that you show. This is about 14% of the income reported, so you would have to see what works out better. I think you would still have a net refund from the EIC, as long as you have a child, higher if you have 2 kids, but they would subtract the self employment tax from what you had coming.

I made $7000 last year working under the table;If I want the Child Earned Income credit, what forms do i need?

if you made money under the table and didn%26#039;t report it and have no other w-2 or reportable earnings, you aren%26#039;t eligible for any EIC credit . zero reportable income means zero EIC - you have to actually make some money to get EIC credits