There may be additional state taxes owed as an employee of a corporation as compared to a self-employed person. I rate on the Food Program can not be income eligible as a corporation. As you can see, the decision to incorporate is a complex one. Officers An increasing number of family child care associations are reimbursing their board members and officers for the costs of attending association meetings. Expenses of association officers or board members, paid by the association to reimburse the costs of attending association meetings are not taxable income to the member.
Parking expenses Payments to a substitute so the provider can attend the meeting.
The association should approve a written policy about payments of such expenses and include their policy with the official records of the association. The association should require the board member or officer to submit receipts or other records showing that such expenses were incurred. Such payments should not be shown as income on the individual's tax return. The individual should keep a copy of their receipts or records as well as records showing that the source of the payments was the association. Direct payments by an association to a board member or officer to attend an association meeting are taxable income.