I employ my mother as a babysitter and every year I give her a W-2 but I haven't been withholding or paying any taxes. That's her only source of income and she makes around $5,000/year from that. Recently I had to cut her hours since I'm now working from home due to the coronavirus situation. She's thinking about applying for unemployment and I'm wondering a) if she's eligible? and b) if that'd get me into any trouble? From the research I've done I don't think I owe any taxes, but I'm not sure if the Michigan Unemployment Insurance Agency would see it that way.