To enter child care expenses:
- Log
into your account and continue (if not already there).
- In the
Search box (top right-hand corner), type “child and dependent care”.
- Click
on the Magnifying Glass icon.
- Click
on “Jump to child and dependent care” ink high-lighted in Blue.
- Answer
the Step-by-step instructions.
The Child
and Dependent Care Credit (not to be confused with the similar-sounding Child
Tax Credit) can reduce your tax bill if you paid for a dependent's care so
that you could work or look for work.
To qualify for
this credit, you must meet all of these criteria:
- You (and your spouse, if
filing jointly) must have earned income
- The
earned income requirement for one spouse is waived if s/he was a
full-time student or
- Disabled,
if they lived with the other spouse for more than 6 months in 2016
- You paid caregiving expenses so that
you (and your spouse, if filing jointly) could work or look for
work
- The
work/look for work requirement for one spouse is waived if s/he was
a full-time student or
- Disabled,
if they lived with the other spouse for more than 6 months in 2016
- You paid a caregiver to care
for a Qualifying Person. The caregiver cannot be:
- Your
spouse;
- Your
dependent;
- Your
child if they were under 19 on the last day of 2016, even if not your
dependent; or
- The
parent of the Qualifying Person, if the Qualifying Person is your child
under the age of 13 during 2016.
- You cannot file with the Married
Filing Separately filing status
- You must furnish the care provider's
name, address, and (unless it's a tax-exempt organization) their SSN,
ITIN, or EIN on your return.
The credit is
worth anywhere from 20% to 35% of your qualified expenses, up to $3,000 (for
one qualifying person) and $6,000 (for two or more qualifying persons). Your
percentage depends on your AGI, with the higher percentages applying to lower
incomes and vice-versa.
TurboTax will
figure out if you're eligible, do the math, and get you the maximum credit you
qualify for.
