With tax season just around the corner, it’s time to think about getting records in order for income tax returns. If you are a caregiver to an older person, you need to know what you can or must declare on your taxes and what your senior can or must declare. Some common caregiver situations include:

• Caregivers may be paid for the services they provide a family member; this income is taxable to the person who receives it.
• Caregivers who provide substantial support to a care receiver may, if qualifying guidelines are met, be able to claim that person as an exemption.
• Caregivers may be able to claim the care receiver as a dependant and receive credit for dependant care expenses.
• Seniors or caregivers who have hired household help may be responsible for employee withholding taxes; this depends on the circumstances.