there is no AGI or taxable income limit..
please note
DC-FSA participants cannot claim the Internal Revenue Code's child and dependent care tax credit for expenses paid through a dependent care FSA, as "double dipping" is not permitted.
there have also been changes in the C&DCTC
The credit is fully refundable, and the maximum credit percentage increases to 50 percent.
The credit percentage gradually phases down to 20 percent for individuals with incomes between $125,000 and $400,000, and further phases down by 1 percentage point for each $2,000 (or fraction thereof) by which an individual's adjusted gross income exceeds $400,000, The amount of expenses eligible for the credit increases to $8,000 for one Qualifying individual and $16,000 for two or more qualifying individuals (so the maximum credits would be $4,000 and $8,000).
what this means is some taxpayers will be better off maximizing their DC-FSA while others would benefit off paying the expenses directly.
