There are 2 categories of tax exemptions for providers of care.
- Income Tax exemption for Caregivers living with a Participant – this is not just for parents. It is for anyone who permanently shares the same home as the person they care for.
- Household Tax exemption of Medicare/Social Security (FICA), State Unemployment Tax (SUTA), and Federal Unemployment Tax (FUTA) – this is only for parents who work for their child and the child is the employer through the CDS Service Delivery Option.
Here is a resource to share with a friend about Parents as Caregivers