How do I contact the IRS about dependent fraud?

Give the independent caregiver a 1099 showing the money you have paid him or her for they need to file taxes on it each year, plus pay their own social security tax on it as an independent contractor.

I hired an independent caregiver for my Mom, who is in wheelchair and has beginnings of dementia. I pay, by check, to the caregiver. Does any of this have to be claimed on my income taxes or the caregiver?

I wonder how you would know for sure unless you asked him. I know I personally don't know anything about my brothers' tax filing. It's not something we talk about. Each year I file taxes for my mother and for myself. They've never asked about us, either.

As freqflyer wrote, a SSN can only be used once as a dependent on someone's return. Personally I would be glad if my brother could claim her as a dependent. Better the money stay in the family, rather than going to the government.

lrt067, I wouldn't worry about it. Everything is tied to social security numbers. Therefore if your brother was using Mom as a Dependent, her social security number would be needed on his income taxes.

And it sounds like Mom has a good social security income since she is paying her own way, thus probably needs to prepare her own income taxes, with the same social security number. A red flag would have been noticed years ago, if in fact your brother was doing this.

I think we may be in a very grey area here, although mom paid for the apartment does brother in fact own it? if she is not paying rent then in a way he is supporting her at least partially. Could she afford to live in similar accommodations with her current income?
Don't know the rules but vaguely think if you provide at least half the financial support for another you can claim them as a dependent.
Someone with more tax knowledge can probably clarify

Why would you want to report your brother? Is he doing her taxes and taking a deduction there, as well as on his own taxes? Or does she make only SS and not have to file taxes?

I agree with the other people. If I did anything at all, I would handle it within family. Probably even the IRS would think someone who would report this was looking for revenge of some form.

I'd do more than act on a "belief" - what REAL proof do you have? Suspicions aren't grounds for reporting someone to the IRS. You could ruin his life that way.

Have you even discussed this with your brother? That's the first step. If he has made mistakes, he may be unaware of them. You at least owe him the opportunity to discuss the situation.

I'm wondering also how you've become aware of the situation, without thoroughly finding out the issues behind what you suspect is fraud.

Seriously, you owe your brother the courtesy and sisterly obligation of respect. It could be that there are issues about which you're unaware.

Wow. I wouldn't turn my worst enemy into the IRS.

You could tell your brother that you are concerned that he may be bending the rules too far and if he gets caught there would be huge trouble with the IRS. Maybe offer to help pay for a tax professional to go over things. But, you are not obliged to be the one to turn him in! You will not be in trouble for not doing that. What is making you want to?

OH boy, if bro is cheating on his taxes that is wrong, no excuse.
But I can't imagine a person who would be looking to narc on the sibling who is there for their mother on a day to day basis. You have some ugly family dynamics. One word, karma.