AliciaP1
Expert Alumni

Self employed

To qualify for the Child and Dependent Care credit, you have to have earned income, and net earnings (income minus expenses) from self-employment specifically can reduce the calculation of the credit if they are lower than the maximum credit.  TurboTax allows you to input the information in case you still have income to enter on your return and will update the allowable credit as you continue.

 

The best way to see how the credit is calculated is to review the form and its instructions here.

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