family-run corporation or partnership without paying kids to work in your business family-run corporation or partnership IRS website guideline IRS.gov Family Help those wages are still subject to Federal withholdings Family Help Family Help you must withhold FUTA, social security, and Medicare taxes Family Businesses not required to withhold FUTA (unemployment) tax child labor tax laws Family Help Social Security or Medicare taxes Family Businesses deduct their income subject to federal withholdings hiring family members deduct their income unless each partner is a parent of the child