My girlfriend's return because I had claimed 50% of the daycare expense on my return. I don't understand what we are doing wrong.

[ricklentz]

My girlfriend and I own a house and have a child together.  We lived in that same house all year and split our expenses 50/50.  When we filed separately, the IRS rejected my girlfriend's return because I had claimed 50% of the daycare expense on my return. I don't understand what we are doing wrong.  50/50 and only one claimed her as a dependent.  Thank you.

[ricklentz]

What happened
 
F2441-526 - Form 2441, Child Care Expenses, Part II, Line 2(b), each 'Qualifying Person SSN' provided must not be the same as a 'Qualifying Person SSN' in Part II, Line 2 of Form 2441 in another accepted tax return for the same tax year.

[ricklentz]

I think I understand why this happened based on this information: <a rel="nofollow" target="_blank" href="https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/qualifying-child-of-more...>

[Rachel_W · Accepted solution]

Unfortunately, per IRS rules, because you and your girlfriend live together, only the person who claims your child as a Dependent can deduct the Child Care Expenses.

For more details, please check out IRS Pub 503.