There are special tax breaks for people who run a childcare business either out of their own home, or in a separate facility. Some examples include:
- deducting part of the use of your home
- specialized rules in terms of income and expenses
- a program called the Child and Adult Care Food Program (CACFP) which helps provide nutritious meals and snacks for qualified programs.
The rules for the deductions can be complex — for example, if the children play outside in your yard, then the expense of maintaining the yard, such as the amount charged by a lawn mowing service can be partially deducted. It’s the “partially” part that can get sticky. If you need help, please give our office a call at 770-478-7424, even if you are not in the Atlanta area. We are experts in helping small businesses save on taxes!