Nursery school, preschool or similar pre-kindergarten programs are considered child care by the IRS. Expenses for overnight summer camps, kindergarten, and first grade (or higher) don't qualify for the Child and Dependent Care credit. However, expenses for before- and/or after-school care of a child in kindergarten or higher grade can be considered child care.
In order to qualify for child care you need to meet the following requirements:
- You (and your spouse, if married) must have earned income, such as from a job or from running your own business.
- The child or dependent care was provided so you (and your spouse if you're married) could work or look for work. Your spouse also meets the description of working if he or he or she was a full-time student or was unable to care for himself or herself.
- The person receiving the care must have lived with you for more than six months of the tax year while living in the United States, Canada or Mexico.
- The person receiving the care was age 12 or under or qualified as mentally or physically disabled.
