LenaH
Employee Tax Expert

State tax filing

Yes. Your $9,600 deduction would be reduced by the amount of employer sponsored benefits (from your W-2 in Box 10). This would lower the deduction down to $4,600. Since $7,200 is greater than $4,600, TurboTax automatically applied what was most beneficial to your tax situation. 

 

When you entered this information in the other program, did you also enter the dependent care benefits in Box 10? This amount is pre-tax dollars. Pre-tax benefits cannot also be deducted as an expense on your return. Only the amount of child care expenses paid with after tax dollars is deductible. 

 

 

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