Here are some of the key tax law changes for 2005 that affect family child care providers. For details on these and other changes, see the Family Child Care 2005 Tax Workbook and Organizer, now available from Redleaf Press for $14.95.

• The standard meal allowance rate for 2005 is $1.04 breakfast, $1.92 lunch/supper, and $0.57 snack. The rate for 2006 is $1.06 breakfast, $1.96 lunch/supper, and $0.58 snack.

• The standard mileage rate is 40.5¢ per business mile for January 1, 2005, through August 31, 2005. The rate rises to 48.5¢ for September 1, 2005, through December 31, 2005. The rate is 44.5¢ for 2006.

• Employers can amend their dependent care plans to allow parent-employees a grace period to pay for child care expenses through March 15, 2006, using money set aside for the 2005 plan year.

• Providers who have children of their own under age nineteen (or under age twenty-four if a full time student) may be eligible for the federal Earned Income Credit. If you are married and filing jointly, your income must be under $33,030 for one child or $37,263 for two or more children. If you are filing as single or as head of household, the numbers are $31,030 for one child and $35,263 for two or more children.

• Providers can amend their 2003 or 2004 tax returns to claim the Section 179 deduction on furniture, appliances, and equipment used more than 50 percent in their business.

• Providers can get an automatic six-month extension (until October 15, 2006) for filing their 2005 tax return by filing Form 4868. Previously, providers could get only a four-month automatic extension.

• Coming in 2006: A new IRS Form 944 for providers who pay less than $1,000 in payroll taxes for the year. This form will eliminate the need to pay quarterly social security taxes and to file the quarterly Form 941. The taxes will be due at the end of the year when this new form is filed.

• Before 2005, there was a rule that allowed providers to claim an additional depreciation deduction of 30 percent or 50 percent for furniture, appliances, computers, equipment, and cars. This rule expired at the end of 2004, so it cannot be used in 2005.

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