Registering your business

Wondering if someone can explain the legal/tax advantages of registering your home daycare vs. non-registered, ie. munchkins home daycare vs. Lisa's home daycare. I understand that in Ontario, we are not required to register if we simply refer to the daycare in your own name but womdering if there are greater advantages of registering a business name instead. Are you able to write off more items if registered?? Also, how does it work if I get extra help (employee), how does this affect me if they are being paid 'under the table'???

thanks in advance

There are no advantages to being registered other than using the "special" name and/or logo you register. That could down the road serve you well in the sense of people will come to recognize the name as compared to there being 6-7 Lisa's with a home daycare. In the event you were looking to get a loan from a bank they might look more favourably on you if you were registered but it would still depend on what you earned/owed. As far as the employee goes if it isn't a full-time thing I have just claimed it as an expense for backup care. The idea is the person you use is self-employed too and is expected to claim the amount under other on their taxes. At the same time you are not responsible for seeing that they do. I have paid my own kids for services rendered. I paid a neighbour who was unemployed to help with some gardening one year, etc and just put that down as an expense under maintenance. If you were hiring a fulltime helper then you would be responsible for paying workman's compensation, etc. for them while they were on your property. If you call revenue Canada and explain what you might want to do they will give you the information needed.