Child Care Tax Center
Child Care Provider Audit Techniques Guide
This Audit Techniques Guide (ATG) will provide information to enable examiners to
effectively audit issues pertaining to child care providers. The ATG will provide
background information, identify frequent and/or unique issues, provide examination
techniques, and supply applicable law. The ATG also contains items of particular
interest such as:
• Business Use of the Home
• Expense Issues
• Food Program Reimbursements (CACFP)
Publication 587 - Business Use of Your Home (See Day Care Facility)
The purpose of this publication is to provide information on figuring and claiming
the deduction for business use of your home. It contains special rules for day care
providers including standard meal and snack rates.
Form W-10 (PDF)
Individuals claiming the Child and Dependent Care Credit must provide identifying
information for all persons or organizations that provide care for the qualifying child.
You can use Form W-10 to provide the necessary information to your clients.
U.S. Department of Argriculture's Child and Adult Care Food Program
CACFP plays a vital role in improving the quality of day care for children and
elderly adults by making care more affordable for many low-income families.
Through CACFP, 2.9 million children and 86,000 adults receive nutritious meals and
snacks each day as part of their day care.
General Information for Businesses
Tax Information for All Small Businesses
This section provides general small business information useful in all industries and
professions. It includes links to small business products, employment taxes,
electronic filing and paying, taxpayer burden reduction, abusive tax avoidance
transactions, and many other topics.
Worker Classification (Independent Contractors vs. Employees)
Are you or your help independent consultants or employees? Before you can know
how to treat payments you make for services, you must first know the business
relationship that exists between you and the person performing the services.
Page Last Reviewed or Updated: July 17, 2009