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Deductions & credits
Yes, you are correct that you need to have some earned income in order to take the Child Tax Credit.
Earned income. Earned income includes wages, salaries, tips, other taxable employee compensation, and net
earnings from self-employment. A net loss from self-employment reduces earned income. Earned income also includes strike benefits and any disability pay you report as wages.
Since you are a more than 2% owner of your LLC you are not allowed to have a Flexible Spending Account. The Flexible Spending Account is made for employees of a business.
[Edited 03/16/20 5:53 am PST]
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March 13, 2020
6:49 AM