@Kbenoit wrote:
@VictoriaD75
Then who in this scenario is able to claim the dependent care credit?
It sounds like you are saying neither party can claim the daycare payments as part of the dependent care credit.
Only the parent that the child physically lived with can claim the dependent care for what that parent paid. You cannot claim what someone else paid.
I have seen no IRS rulings or tax court opinions that have addressed the issue of that just being another form of child support. I suppose that if the divorce decree specifically specifies that the non-custodial parent will pay dependent care expenses directly to the provider and not to the custodial parent, then it might be argued in tax court that it is actually the custodial parents money that was paid, therefore deductible. Just my opinion. That is a good question for a tax attorney that practices before the tax court.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
