Managing taxes when you pay your child
Ok so I hired my son to work on my rental , he is 17. Some of what he does is not 1099 work but employee work so we should be withholding taxes and sending to the IRS. can anyone recommend an inexpensive service for this OR a way to do it easily. I know someone will say ask a CPA but I had a parting of the ways with the current CPA ( he filed our 2012 taxes FINALLY in September). I am working on finding a new CPA but now I think I am remiss in getting my sons tax payments in since it looks like they are supposed to be monthly not quarterly. The IRS well they aren't my favorite government agency so I want to have things right...
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We did exactly what @Steven Hamilton II suggested & still do 1099 them as required.
But we also made sure we documented the full gifting amount each year, that way when we did get them into properties @ 18 they could justify the 'funds'.