An one year old has no concept of birthday. MacDonald or home party would make no difference to him. To please your in-laws, why not make it a special party at home by decorating the house with balloons/ribbons, etc. and make a banner which says "Happy Birthday xxx is 1". Invite a few close relatives (give face to the in-law). Take loads of picture for keepsake. I held home party until my children went to kindergarten, then I switched to outside venues.