Can a local government declare you a "business" and charge taxes from income for caring for your own mother in your own home?
We have been caring for my mom for the past 3 years in our home. My dad has paid me some money for this. We have always
paid our state and federal taxes on this income. Recently, our "local government" sent us a letter saying we are a "business" and must pay back taxes and penalties for our income from my mom's care. We had no idea we were a "business". Can they do that?