Well you chose to send there knowing it wasn’t legal. And now you want to turn them into the irs. Ask your lor
I'd sooner pay less monthly, send to a local Morah I trust, with a small group, and lose the child tax credit, than pay more for a commercially run group setting with whichever Morah the place hired, and get some back.
Since legal daycare centers charge more, I'm not losing all that much.