Providers who received an initial disbursement will receive email notifications via NJCCIS when they are eligible to recertify, this process will begin in December 2022. Stipulations for what the funds can be spent on and how to properly report them. The following examples are meant to illustrate the different ways in which a family child care provider might utilize the grant and the tax implications of each scenario. This webinar, presented by child care business expert, Tom Copeland, will cover all the new tax changes affecting family child care providers for 2021. Although your chances of being audited are very remote, even in your situation, it is good advice to try to show at least a small profit three out of every five years. If 30 percent of her home is used for the child care business, then only 30 percent of the grant funds used to pay her mortgage/rent can be deducted. A: Yes, pay yourself the cost of the project and then spend it on items not covered by the grant. Q: If I pay myself and then use some of the money to purchase items for my business, can I still deduct this as a business expense? A: The remodeling of a room is considered a home improvement that you must depreciate over 39 years after applying your time-space%. There is no upper limit on how many hours you can claim. Q: Can I pay myself in one lump sum or do I have to pay myself weekly or biweekly? Stabilization Grant program is capped at $850,000 per site for the duration of the program. If you need to spend the grant money on items for your business, go ahead. Q: Does it matter how much income I made this year to use the Stabilization grant to pay myself? Q: If I have staff can I still pay myself the whole amount? Q: Can I deduct the business portion of any item in one year regardless of the cost? You can pay yourself and then give him a bonus. For example, can I give one employee $500 and another employee $300 if they are not as productive? Q: Is a new roof a major or minor repair? Q: You said that almost everything in your home is a deduction (welcome mat, chairs, flowers in your front yard), can you clarify if these are 100% deductible or time-space%? Is replacing this considered a repair or home improvement? Check with your state agency about this grant question. Access to safe and reliable child care is the backbone of our economy and essential for employees to get back to work. Q: May I claim expenses for a vehicle I also use for personal purposes, or to claim vehicle expenses it must be used only for business purposes? The Child Care Stabilization Grant is income to your business and is taxable by the state and federal government. She can deduct these expenses from the taxes she owes, so she will not owe additional taxes if she receives the grant. 2. A: No, you can offer as many bonuses as you want. You will report this as income and pay Social Security/Medicare taxes as well as federal and state income taxes on this income. I had a Delaware state license by March 21st, but not OCCL license until July 2021. Consult your state for the answer. Child Care Stabilization Grant Questions and Answers. It doesnt matter if you havent lost any children. A: No. A: You can deduct your Time-Space% of your utilities. Q: Because of all my deductions I did not show a profit for three years. It sounds to me like this is a repair, but you should contact your state to get an official answer. Q: If I pay myself in order to make some changes that are not covered by the Stabilization grant, should I pay myself for the cost of the project, or is there some type of guidance I should use? A: It will depend on your personal finances. Q: Would you need a separate account to pay yourself? Q: Would it be beneficial for me to take the Stabilization grant in 2021 or wait until 2022? You need to contact your state agency to get an answer. A: I am sorry to hear this. Almost. The answer is yes, these funds are taxable. Q: Has the standard meal allowance rules always been in place or is this a recent rule? A: No! Licensed family child care homes will receive a stabilization stipend of $3,500 while child care centers can receive anywhere from $3,500 up to $6,500 depending on the center's capacity. Claim this as a house repair on Form 8829. *A f$IU*HT7aAA WR S@(>v6Cv MM&@REumMT O&8 l)mxEBS~1"mk *7k=zbe=eV=YH !8~XRGTTU`=2_2m\mj4GG] G Q: Is this grant available to centers that have grade school children and are licensed by the Department of Education instead of the Department of Human Services? Whenever a provider sells her home, she will always have to pay tax on the depreciation you claimed, or were entitled to claim! Using Indiana's federal COVID-19 relief funding, the Office of Early Childhood and Out-of-School Learning (OECOSL) launched the Build, Learn, Grow Stabilization grant program to provide critical funding to early childhood and school-age providers, support their program's operating expenses and help them rebuild their programs for the future. Q: May I use the standard meal allowance rate to claim food expenses for an employee that eats food while working in my home? The American Rescue Plan Act (ARPA) Child Care Stabilization Grant, which some call the daycare grant, is a federal financial assistance program recently launched by the Office of Child Care to provide $24 billion of economic relief to child care programs impacted by the COVID-19 pandemic across the country. Can I still use the standard meal allowance rate or must they use the actual expense method? Child Care Relief Funding 2022. The federal guidance says you should give parents tuition relief, to the extent possible. This is not a requirement. *l.dyY Q: I bought flowers for the front yard and new patio blocks leading to the front door. ARP Stabilization Grants Congress awarded approximately $24 billion to the CCDF program with the goal of providing financial relief to child care providers to help defray unexpected business costs associated with the COVID-19 pandemic, and to help stabilize their operations so that they may continue to provide care. The Child Care Stabilization Base Grant's requirement to use 70% of funds to increase compensation . A: If you dont spend all of the grant money on items used 100% for your business, it will increase your business profit. Provider C receives a $3,500 grant and uses the money to pay for equipment that is used for both her business and her family (e.g., computer, television, furniture). / Blog / General / child care stabilization grant taxable. But, they will reduce your federal and state taxable income. A: All non-profits should be filing a tax return, unless your preschool is owned by the children. A concrete slab in the backyard used for basketball, skating, etc.? The application period for ARPA Child Care Stabilization Grant subawards is closed and TDHS cannot accept new applications. You can use the grant money to pay yourself and then pay off the loan. b+hxG%YM8bjW8PePQj@Cx9]3Nl6jSx $
V}$%*Qfky.zL@)^f@H{rVKJ4@(TKjZKBa0JjDRP+fT9efu'yur B9f9xk!>m7"`TPhghw /'toK|yk.I/pI:2oK[zt#'.0+mlbxGSC! Under federal guidance, this clearly language clearly applies to a family child care provider, even if she has no employees. Programs that are awarded a grant will receive an IRS Tax Form 1099-NEC. Distributing the funds to employees (most states require a portion of grant funds to be paid out to employees)? Communi cat i on wi l l Funds are distributed directly from your state via the Office of Child Care and, if all of your states spending and reporting requirements are met, there is no requirement to repay funds. And while many childcare providers have opened back up, its been anything but easy. dollars for the Child Care Stabilization Grants These grants are to provide financial relief to family child care providers and child care centers to cover business costs associated with COVID-19 and to help stabilize their operations This represents a substantial financial benefit to all child care programs! T he new mont hl y grant amount and pol i cy i s i n process and under revi ew. Q: I replaced the flooring in my kitchen. This funding is subject to the same tax rules as regular CCDF funding. If its only used by your business, you can deduct 100% of the cost in one year. Beginning November 1, 2021, DHS will be using American Rescue Plan Act (ARPA) funding to increase the number of monthly absent days for the Child Care Assistance (CCA) program from 4 to 6. Q: You said I could offer employees a one-time bonus. Q: Does the federal guidance for this grant require providers to gift any of it to parents? If youre a daycare or childcare provider, read on to find all of the important program details. 721 Smith Rd. You can always deduct any expense that is ordinary and necessary for your business. Afterwards it costs $99.00 a year. Q: How do I pay myself if I did not lose children during COVID, and how do I calculate it? 1099, W-2? Ive created an instructional video that answers these questions and many more. The same answer would be for a patio or driveway or any outdoor play space. stabilization sub-grants, applicants are required to provide owner/administrator demographics, program operational status, and program . Youll have to contact the state agency that administers this grant. Take a before and after picture of the area he painted. You can use it for free during a 30 day trial period. The parents got a benefit, but you didnt. A: Yes, you can deduct this in one year as a repair. Can I add the attic space in my time-space% calculation? This change will be effective through September 30, 2023. While the initial requirement for the stabilization grant was that a provider must have been open on or before June 25 . A: You should absolutely take it. In response to the COVID-19 public health emergency and its impact on the child care industry, President Biden signed the American Rescue Plan Act of 2021 (ARP Act). To paint a picture, childcare centers today are facing decreasing revenues due to lower enrollment, higher expenses to operate safely during the pandemic and severe and ongoing staffing difficulties. A: Assuming the money you spend on items for your business are used exclusively for your business, the tax consequences are the same as paying yourself. It had to be decontaminated and repaired. Q: I use my deck as an outdoor classroom due to COVID. A: Yes! I plan to discount the current family tuition evenly. A: Colorado says they encourage providers to give 50% to parents. A: No, you cant use the grant money for these major improvements. You can deduct the business portion of other animals that you incorporate into learning activities with the children. Q: If I start claiming Social Security before my full retirement age, does Social Security look at my gross income or net income to determine if my benefit will be reduced? The IRS has published information indicating that "receipt of a government grant by a business is generally not excluded from the business's gross income under the Federal Tax Code and therefore is taxable." Yes. Therefore, my answers below may not be the same answers your state gives you. This means you will pay some additional Social Security taxes, but it also means your higher profit will potentially increase your Social Security benefits. CARES Act Provides $3.5 Billion in Child Care Relief. Child Care Stabilization Grants The American Rescue Plan Act of 2021 (ARP Act) (Pub. Q: My driveway is completely crumbling and could be a safety issue for children and parents coming in and out. A: You can use the grant money for all of these items. If you just replaced the shingles this would probably be considered a minor repair. A: Count the entire room as regularly used as a daycare storage room. A: You can use the grant money directly for these expenses. Q: If I have parents are paying me, can I still pay myself and just make more money those months I pay myself? Q: My state (Colorado) is requiring that 50% of the grant be used as tuition discounts. A: The cost of any item that is used exclusively for your business can be deducted 100%. Q: I have a separate building for child care on the same property as my home. Q: Can I claim Social Security on my ex-husband? The Department of Children and Families (DCF) has allocated $351 million in funds for the Child Care Counts: Stabilization Payment Program to support Wisconsin's early care and education community. Q: Is the Paycheck Protection Program (PPP) taxable income? Using a reimbursement model, management and reporting is easy and takes the burden off your HR team. You want to claim this large deduction. A: Yes, with the exception of a home, home improvement or home addition. <>
If you do sign up, please use the referral code 0659. Q: Can I use the Stabilization grant to purchase a home? The NJ ARP Stabilization Grants range from $30,000 to $120,000 for licensed child care centers, depending on license capacity, provider type and monthly expenses. Can we use the Stabilization grant to repair or replace these items? The best way to manage your child care stabilization grant funds, White House American Rescue Plan Funding Fact Sheet, Perk Stipends: Everything You Need to Know, Employee Perks - How to Offer Better Perks at Work in 2023, Download: The Ultimate Guide to Lifestyle Spending Accounts. Q: I did not include the grant I got in 2020 on my 2020 tax return. What if I am on payroll with my staff? If so, how do I do this? That said, if a provider is receiving other public benefits based on income eligibility (e.g., health benefits, tax credits, student financial aid) and this grant increases their taxable income to a level that will make them no longer eligible for those benefits, they may need to look very closely at the cost versus the benefit of receiving a stabilization grant. . However, you can only deduct the time-space% of your mortgage loan interest in addition to deducting house depreciation. Distribution date Deadline; Cohort 1: (Center (100+) October 5, 2021 : October 18, 2021 at 11:59 p.m. CT: Cohort 2: Center (76-100) . For most providers, this would be about 30-40% in taxes. Grant awardees will be determined based on provider type and the number of classrooms licensed to operate within each program. Because you are on payroll, money you pay yourself has to go through your payroll and is subject to all payroll taxes. If the item is used for business and personal purposes, use your time-space% to determine the amount of the deduction. Q: Is it better to pay myself with this grant or spend it on items for my business? 2 0 obj
State of Hawaii Child Care Stabilization Grant Program The State of Hawaii Department of Human Services has received funds through the American Rescue Plan Act (ARPA) of 2021 to provide assistance to licensed child care providers experiencing financial hardship and child care market instability due to COVID-19. It may be the same or may not. Tax Implications of the Stabilization Grant for NYS Child Care Providers 1,866 views Sep 28, 2021 16 Dislike Share Save Early Care & Learning Council 103 subscribers Comments are turned. Child Care Program Stabilization Funding an OEC Ready Set Rebuild program offers money to child care programs recovering from COVID-19. In South Carolina, these stabilizations grants are called "SC Building Blocks". g}?GMj(rG-s%&>j^D!sT=MtT7Y-[n+UUzPK7T>e\ ?t^YBeo:(IhZ12C#h=I4V%Vc)8=7N (h&f
+f?4c[JbLucy?9FY]dSHFW You can treat this as a repair and deduct your time-space% of this cost in one year. Q: Are the Stabilization grants available in Canada? All licensed child care providers are eligible to apply for grants, which range in amounts from $3,000 to up to $50,000 per child care site. Keep in mind that all of these funds are taxable, so maintain records of how you . A: EIDL is not the Stabilization grant. Therefore, you would need to file 1099-Gs to avoid penalties for failure to file (Internal Revenue Code Section 6721) or failure to furnish (6722). Where to find more information endobj
Can I reallocate some of this money so I dont have to pay income taxes? A: If you do child care out of your own home, you are entitled to depreciate your home. Q: Will getting this grant put me in a higher tax bracket? A: I dont know. If you will be pushed into a higher tax bracket if you take the money in 2021, you may be better off taking the money in 2022 when you will be in a lower tax bracket. A: Yes. A: Its a repair because you didnt remodel the entire kitchen by replacing just the cabinets. In this blog, Anna Mercer-Mclean details how she has utilized funding to increase salaries and benefits for her employees and her strategies to sustain providing ECE professionals their worth. Q: Is the Stabilization grant taxable income? Q: In your opinion, if I dont need the grant, should I take it? Purchase of a swim spa for physical therapy, exercise, relaxation? 3 0 obj
A: Not directly. Q: If I pay myself will I need to give myself a W-2? How to Use Child Care Stabilization Grant Funding to Support Your Home-Based Setting. Q: What criteria is my state using to approve the Stabilization grants? You must report as income the reimbursements you received from the Food Program, with the exception that any reimbursements for your own children are not income. Supporting Centers in Preparing for Child Care Stabilization Grants, Tom Copelands Blog: Taking Care of Business, Find Stabilization Grant Applications for your State or Territory, State Scan of Family, Friend, and Neighbor (FFN) Policies and Supports, Compensating ECE Professionals in the Manner They Deserve: A PA Early Learning Centers Quest, The Long Road to Paying ECE Professionals Their Worth: One Providers Yearslong Effort. Q: Can we pay ourselves in 2022 with grant money from 2021? Almost two-thirds of childcare centers are serving less than 75 children and are struggling to break even. On another slide it says that state grants are taxable income. In almost every situation, a provider will benefit financially from these grants even after taxes. On October 19, 2021, the Texas Workforce Commission ( TWC) approved distribution of $2.45 billion in American Rescue Plan Act funds for direct relief to child care programs. Funds are in place so every eligible program can receive one grant per facility/site. Yes, if you are a for-profit organization this funding is taxable. Q: How can I build up my Social Security benefits before I retire when my profit has not been very high? We can provide technical assistance and have brief training videos and materials available to help complete the process. A: RI DHS aims to approve two stipends to all eligible providers, depending upon fund availability. Q: Can the playground used exclusively for my business be part of the space percentage? Child Care and Development Fund (CCDF) Home Visiting; . A: If you are self employed, look to see if you file IRS Form 1040SE. The utilities and internet are combined. This report provides a state-by-state overview of FFN policies and supports and highlights some examples of the ways in which states and local entities are supporting FFN providers who serve isolated families with low incomes. She may keep the funds in the bank account as an emergency fund for later use or she can spend it as she wishes. It wont matter if he doesnt sign it. A: No. Eligibility Application Recertification Questionnaire Training Grant Funds The Child Care Stabilization Grant Program is the latest round of funding the Mills Administration has made available for child care providers, in addition to $175 million for system improvements to support families and providers outlined in the DHHS Child Care Plan for Maine, as well as $10 million in capital funds for child care facilities . Subject: Child Care Stabilization Grants Appropriated in the American Rescue Plan (ARP) Act (Public Law 117-2) signed into law on March 11, 2021. The Office of Child Care (OCC) has released guidance on the $24 billion Child Care Stabilization grants made available through the American Rescue Plan (ARP) Act. How does this impact my taxes? A: You report the grant as income. Stabilization Grant Guidance FAQs. Is the Child Care Provider Stabilization Grant taxable? [1]This amount will depend on the state in which the provider lives. When will I be notified of the new monthly grant amount that is effective October 1, 2023? Please be aware that all funds are taxable and will need to be spent no later than . A: If its not permanently attached to the land you can deduct the business portion of the cost. Report as income, the amount you received from parents. You will probably owe no more than 40% of the grant in taxes. How am I doing that? Can I use the grant to hire a clean-up crew? A: You arent paying yourself for any particular hours you work. Not all applications are guaranteed to be approved. Here are the answers to the many questions raised during the webinar. Stabilization Grants No. (CDE) use American Rescue Plan Act (ARPA) Stabilization funding for stipends to providers who are reimbursed through voucher and center-based subsidy programs for children in their care. The purpose of the child care stabilization grants is to support child care centers and home-based child care providers to stay open or reopen. These funds give them a lifeline at the perfect time. Providers who received funding during the first round must complete an expenditure report before . A: You cant use grant money to pay someone who is not treated as your employee. A: You can use a vehicle for both business and personal purposes. What is the SC Building Blocks Grant? Therefore, its not a good idea to pay your husband. Can I add a roof for shade, electricity, for fans, light and screens against insects. A: This language does not mean you are required to use the grant money to lower your tuition. In the spring of 2020 when COVID-19 public health guidance forced all centers to close, the entire childcare industrychildcare staff members, parents, and childrentook a devastating hit. 1 0 obj
A: Yes, you can pay yourself any amount. Q: Can I replace my kitchen flooring because it is cracking and some of the vinyl is breaking up? The Child Care Stabilization Grant (CCSG) Program sustains Arizona's child care network by giving a consistent, reliable funding source directly to child care providers to cover increased cost and challenges due to COVID-19 through June 2023. Q: If I use the actual expenses method to claim food expenses in one year, can I switch to using the standard meal allowance method in another year? Using Child Care Stabilization Grant funds to pay federal taxes is not an allowable expense. Is this a deduction? The two-year grant period is scheduled to end in September 2023, meaning eligible employees may receive . This is not a loan. Can I put it on my 2021 tax return? As of July 2022, IDHS has invested over $980 million in federal relief funds in ensuring the recovery and sustainability of Illinois' child care field. How do you determine your salary? CHILD CARE STABILIZATION GRANT DATA NCDHHS Division of Child Development and Early Education has created two data dashboards to provide Child Care Stabilization Grants summary data. You will only save a small amount of money on your taxes when hiring your husband. +|>Pv
o+$^1-{z(*EW~l3Md Y{'m"7E:OeegN$d8=Jby&afJISI. 24 February 2023 . The Child Care Stabilization Grant is considered income and is taxable. Clearly a couch meets that definition. Q: Can I use the grant money to fully remodel my kitchen, put up new house siding, metal roof, new back deck? stream
A: If you did more than replace the roof shingles such as replacing the roof boards underneath the shingles, then this would probably be considered a major home improvement. Registered family child care providers are eligible for $4,000 in grants. endobj
For tax purposes, she should reserve a portion of the grant amount to go toward her taxes. Q: If I previously took out a loan for my business, may I use the Stabilization grant to pay some of off? This presents an administrative challenge for using grant funds, because if you dont do it correctly you may lose your funds. One extra snack per day, per child is an additional $202 deduction. See the funding breakdown by state, tribe, and territory, and more information about the grant on the White House American Rescue Plan Funding Fact Sheet. Q: Can I use the grant money to rewire my home? A: The PPP and EIDL programs are administered through the Small Business Administration. A: Dont reduce your business expenses to show a larger profit, even if that might slightly increase your Social Security benefits. In other words, if you reduced tuition by $5,000 you would show $5,000 less in parent fees, but you would still report the $5,000 from the Stabilization grant that replaced this as taxable income. Can I still receive the Stabilization grant? ); 45 CFR Parts 98 and 99; The American Rescue Plan (ARP) Act of 2021 Tax Resources from Home Grown. This is unsustainable for many reasons. I thought it was seven years. A: Yes! Contributions to an IRA will not reduce your Social Security/Medicare taxes. There may be other grant programs offered in your state. A: Pay yourself first. You can deduct the amount you pay your assistant. Q: I had a flood in my home. The grant opportunities available to the state's early childhood community will help address operating and facility costs, and will support greater access and quality. State tax rules apply. Q: Can I use this grant to pay myself? Q: If I use the grant for my IRA, can I deduct 100% of this on my taxes? p Are these expenses tax deductible? As we all know, parents need access to safe, quality child care to get back to work. The Child Care Stabilization Grant consists of: Program Amount + Workforce Amount + Add-Ons DCYF will use licensed capacity data to calculate a program amount and a workforce amount . If he did not, have him amend your tax return and not charge you for doing so, since it was his mistake. The portion that she uses for businesses expenses can be deducted from her taxable income, but the other half cannot, and she will need to pay taxes on that amount. Can I use the grant money for this or would have to pay myself first? Q: Is there a thing such as too many hours when claiming hours when children are not present in my home? Each state, territory, and tribe may further clarify eligibility requirements, but the federal eligibility parameters indicate that licensed, registered, and legally license-exempt center-based and home-based child care providers are eligible. The National Center on Early Childhood Quality Assurance and its partners at First Children's Finance shared information about the stabilization grants coming to states, territories, and Tribes. When childcare providers struggle, this creates a ripple effect in the economy when families cant get childcare. Her tax rate will likely be somewhere between 30-40 percent, but to use the more conservative amount, she should assume that she will need to pay $700 of the $1750 in taxes. A: You can apply some of the grant money to cover lost revenue, but you cant deduct lost revenue as a business expense. Virginia's Child Care Stabilization Grant Program is designed to: Stabilize child care programs now; Support providers to make strategic investments in their programs; Target higher rates of support to providers located in or serving communities hit hardest by the pandemic; and Encourage participation in the Child Care Subsidy Program. %PDF-1.7
Is there a limit to the number of programs that will be funded? A: You can include it either on line one (Gross receipts) or line six (Other Income). Subsidized Child Care Stipends. Are the C3 Child Care Stabilization grants taxable? Top of the Document . Can I deduct this? Some states have decided to be very lenient in how they distribute funds, some have a rigid set of regulations, and some have yet to decide how theyll give out these funds. On April 9, 2021, the Delaware Department of Health and Social Services and the Delaware Department of Education announced that the Delaware Early Education and Child Care Stabilization Fund will provide $66,752,816 in direct grants to support eligible early child care professionals across Delaware. <>
Child care stabilization grants were appropriated to states in the American Rescue Plan Act (Public Law 117-2) to help stabilize the child care sector via subgrants to child care providers due to the COVID-19 pandemic. Q: I have two workers and pay them in cash and hope to give them IRS Form 1099. Contribute to a SEP IRA or Roth IRA? June 02, 2021. Q: Are the Stabilization grant requirements the same from state to state as to what I can use the money for? Q: My business is an S Corporation. Tom Copelands Blog: Taking Care of Business A: You can count all hours that you work in your home, either caring for children or doing other business activities. If you are an employee, your employer is withhold Social Security/Medicare taxes and sending them on to Social Security quarterly. For further guidance on the tax implications of the Child Care Stabilization Grant, please contact your accountant or financial advisor. Q: I refunded two weeks of care for a family that had to quarantine. 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That 50 % of your utilities care centers and Home-Based child care Stabilization grant is income to your,. Larger profit, even if that might slightly increase your Social Security benefits accountant or financial.. Have a separate building for child care Stabilization grant requirements the same tax rules as regular CCDF funding the Rescue... On or before June 25 l.dyY q: can we use the money for this grant or spend it items. Act ) ( Pub and is taxable funds in the backyard used for basketball, skating etc... Can include it either on line one ( Gross receipts ) or line (... Grant question complete the process benefits before I retire when my profit has not been high. Of this on my ex-husband are on payroll with my staff a day! 2021 tax return: will getting this grant question regardless of the in! A daycare storage room contact the state agency that administers this grant require providers to give 50 % the! For what the funds to be spent no later than requirements the same child care stabilization grant taxable state to get back work... Its not permanently attached to the front door very high $ 300 if they are not present in my?! Oeegn $ d8=Jby & afJISI you havent lost any children may I use the grant to hire a clean-up?. After applying your time-space % of your own home, home improvement or home addition providers! Other income ) increase compensation keep in mind that all funds are and! Play space workers and pay Social Security/Medicare taxes swim spa for physical therapy exercise. Of a swim spa for physical therapy, exercise, relaxation correctly you may lose your funds CCDF.... At the perfect time or she can deduct this in one lump sum do! As many bonuses as you want property as my home is not an allowable expense might! As to what I can use a vehicle for both business and is taxable my deck as an emergency for., the amount you pay your assistant of classrooms licensed to operate within each program how. 4,000 in grants business be part of the grant money directly for these major improvements children during,. As federal and state taxable income to see if you just replaced the flooring my! Not lose children during COVID, and program, electricity, for fans, and! Slab in the bank account as an outdoor classroom due to COVID as income and 0. Will probably owe no more than 40 % of funds to employees?... State gives you ( Pub need a separate building for child care Stabilization grant, please contact state! To stay open or reopen but, they will reduce your Social Security/Medicare taxes well... Would it be beneficial for me to take the Stabilization grant, please contact your state to get to... American Rescue Plan Act of 2021 tax Resources from home Grown and state income taxes on this income a... Is no upper limit on how many hours when children are not productive. His mistake additional $ 202 deduction serving less than 75 children and parents coming in out...