You cannot use both tax benefits for the same expenses.
If you have two or more eligible dependents receiving eligible care, you may set aside up to $5,000 in a Dependent Care FSA and claim $1,000 of the child and dependent care tax credit. The Child Care Tax Credit will only be applicable on the $1,000 that was “unreimbursable” from your FSA.
To clarify: The actual tax credit doesn't cap at $6K. With two qualifying kids, you can use up to $6K in allowable expenses to calculate the credit. The actual credit is 20-35% of your allowable expenses. Your applicable percentage depends on your AGI.
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
