geislern
New Member

$1000 Childcare Credit eligibility

Turbo tax auto added this to my return but we take the $5000 health savings acct option and I thought you could not do both
ChristinaS
Expert Alumni

Deductions & credits

Also, I am presuming that the 5000 FSA (not HSA) was entered in Box 10 of your w2.
geislern
New Member

Deductions & credits

Box 10 does have $5000 entered
geislern
New Member

Deductions & credits

Just one kid. TT is giving the $1000 credit but we use the FSA acct (Line 10) and I can't override to remove the $1000 credit.
ChristinaS
Expert Alumni

Deductions & credits

Please review the answer I posted. This must relate to your response in the W2 area.
ChristinaS
Expert Alumni

Deductions & credits

ie. You put a value in Leftover amount field. Nothing else would permit you to get this credit.
geislern
New Member

Deductions & credits

I answered NO to onsite childcare. 0.00 left
geislern
New Member

Deductions & credits

I went back and even cleared the Leftover entry so nothing was typed in that space (even though all that was there was $0.00), and it is still taking the credit
ChristinaS
Expert Alumni

Deductions & credits

turbo tax knows this area pretty well. Please verify that you received the credit on your tax return:
My Account-Tools-View Tax Summary-Preview 1040. Verify line 49 and also see if it appears that your wages are $5000 higher on Line7.
geislern
New Member

Deductions & credits

FYI, I will have to step away soon : /
Can I get your assistance soon if I can't return to this for a couple hrs?
geislern
New Member

Deductions & credits

Nothing showing in line 49

Line 7 > $5000

Deductions & credits

Are you confusing the 1,000 Child Tax Credit with the Child Care Credit?
ChristinaS
Expert Alumni

Deductions & credits

Line 7 is greater by $5000????And, line 49 is where the credit would be. You don't have one now .
I'm not really sure there's a problem here...perhaps you are, in part, confusing the child tax credit. A 20% credit on $5000 would be $1000, and the CTC is also $1000, so lets be sure those aren't confused.
geislern
New Member

Deductions & credits

Aha - that's it! Of course, overlooked the obvious. Thank you for walking me to it!
ChristinaS
Expert Alumni

Deductions & credits

Do you have 2 or more children? Also, is it a credit of $1000 or expenses of $1000?

If you have 2 kids, you can receive a credit on the extra $1000 ($6000 for 2- $5000 max FSA). This would probably be a credit of $200.

If you are showing an actual credit of $1000, you may have indicated the following after entering the W2:

  • Edit W2, keep pressing Continue until you see the screen -
  • Did your employer provide on-site child care?
If you indicate in this area that you had a leftover amount in the FSA, you can receive a credit and exclude the $5000. Please review your responses to ensure you have answered correctly.