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Deductions & credits
No,only taxable compensation is included in the calculation for the Child Care Credit. See this link, under You Must Have Earned Income.
"Generally, only taxable compensation is included. For example, foreign earned income and Medicaid waiver payments you exclude from income aren't included. However, you can elect to include nontaxable combat pay in earned income."
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‎June 4, 2019
2:43 PM