I work as a nanny for a young couple’s 5-year-old child. Today I was asked to give a signed form W10 quoting my social security number and my address for tax purposes. What exactly is a W10 form for and what does this mean for me?
The reason you are asked to submit the IRS Form W-10, -Dependent Care Provider’s Identification and Certification is that your hiring couple desires to claim a tax deduction for the expense on child care. In other words, as per IRS regulation, any person who hires and incur expense on child care, he/she must provide the correct name, address, and taxpayer identification number (TIN) of each care provider on Form 2441, from each person or organization that provides care for your child or other dependents if any of the following is true:
1. You plan to claim a credit for child and dependent care expenses on Form 1040 or 1040-SR, or
2. You receive benefits under your employer’s dependent care plan.
For, the purpose of filing Form 2441, the hirer will give you form w10 in which you (the caregiver ) need to file Part 1 which basically is asking for your name, address and tax identification number which is social security number(SSN).
The hirer will fille the Form 2441 by using the information given in Form W10 and shall keep the 10 in his/her records.