Dependent Care Credit

If you paid child care expenses for a qualifying individual in order for you and your spouse to work or look for work, this credit is for you. You cannot take this credit if your filing status is married filing separately.

Your total expenses can’t be more than $3,000 per qualifying individual. As long as these expenses are for the individuals well-being and protection, it is eligible. However, if you receive dependent care benefits. you must subtract the amount the amount of these benefits from your dollar limit.

Requirements

As a reminder, a qualifying individual is:

• Under age 13 (for the care provided)
• Your disabled spouse who was either physically or mentally incapable of self-care and lived with you over a year
• A disabled individual incapable of self-care, lived with you for more than half of the year

For any individuals other than your spouse or child, they cannot receive more than $4,200, is filing jointly, or can be claimed as a dependent on another person’s tax return.

This entry was posted on Friday, November 20th, 2020 at 6:56 pm and is filed under Credits. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.