. I realized too late that I would’ve been better off in 2021 not contributing $10,500 to a childcare flexible savings account and taking the full childcare tax credit instead. I haven’t submitted a claim yet for 2021 flex savings funds. My plan allows me to rollover unspent 2021 childcare flex savings funds to 2022 and then submit a claim until April 2023. Is it possible for me to claim the full childcare tax credit by not submitting any claims for flex savings funds spent on 2021 childcare (and use the $10,500 on 2022 childcare expenses instead)? It seems like the answer is yes based off TurboTax questions.
So from what I’ve read online double dipping refers to “The same eligible expenses that are reimbursed through a Dependent Care FSA cannot also be counted as eligible expenses to claim the Dependent Care Tax Credit.”…since I’m not getting reimbursed for dependent care 2021 I imagine it’s not a double dip. In 2022 I’ll use my 2021 fsa funds and not claim tax credit.
TurboTax seems to be onboard with this approach since it asked how much of my 10,500 2021 fsa funds were unspent and I listed all which then gave me the full tax credit
