what happens in md if you provide childcare for 3 kids but dont report it? and social services heard i have new income for childcare?

If you get benefits and don't report income, you can be prosecuted for benefits fraud and go to prison. You probably wouldn't need a license, that is far form the issue. Whether or not you need a license is state law, and you don't say where you are.

You of course also were legally obligated to pay taxes on this income, so failure to do so will result in at minimum a big fat tax bill and at maximum, more prison for tax evasion.

Even if it is your only income, you have to report it.

They will reduce the state income you receive by a percentage of the amount you receive from your employment as a childcare provider.

...Unless your home does not meet the standards set by Maryland for Home Based Child Care, in which case they will shut you down until you can comply.

...BUT, because they really want for you to have your own income, they will probably provide help for you to not only comply but also expand your business.

So, you'll find that everything works out OK for you.

is licensing required in MD? not all states require licensing and even those that do there must be innumerable people doing child care who are not licnensed and they report their income on Sch C which is for your 1040,

MD picks up your AGI like most states and unless they have a requirement to include your federal return with the MD they won't know that you are doing child care from your filing

The IRS doesn't care about all that and they don't report you. If you don't report it to social services you can be prosecuted for benefits fraud.

They'd check on the info, and throw you off benefits, and maybe prosecute you for fraud.

what if i lose my job as this is the only income i have! and what other trouble could i get in? also, any more of my questions you could answer?

The person who pays you rats you out so they can get their credit.