Sorry ... the program is correct. If you only have one child then the max the credit can be taken on is $3000 and the form 2441 applies the FSA amount in box 10 of your W-2 against the first $3K of expenses paid thus you have nothing more left to take the credit against.
Now if you had 2 or more qualifying kids in day care the limit would have been $6K thus you would have had a credit on the amount over the $4985 ... $1015 x 20%.
FYI ... for the good news ... you did not pay federal or FICA taxes on the amount you did put in the FSA so you got the benefit upfront instead of on the tax return. $4985 x (.0765 + your tax rate ... I will use 22% for this example) = $1100 taxes saved up front on your paycheck vs $3000 x 20% = $600 on your return ... so you win.
