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After you file
Go back through your Iowa return. Near the end, you will see a page about Tax Credits, click continue until you come to a screen that asks Any Young Dependents? Answer Yes, and the next screen is the early childhood development tax credit.
If you are choosing the Early Childhood Development Tax Credit, you may take the credit equal to 25% of the first $1,000 of qualifying expenses paid in 2023 for each dependent from the ages of three through five.
Tip: Choose Yes on this screen if you think 25% of your qualifying expenses (up to $250 per qualifying child) is greater than the child and dependent care credit displayed on the screen.
Tip: Watch the IA refund monitor and choose the credit which provides the larger credit.
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March 2, 2024
4:54 PM