I have two kids and in total , I have 2 daycares (with EIN ) expenses and also, one church based pre school ( No EIN).
Even with 1 daycare, I am able to reach DCFSA amount of $5000.
Should I keep only 1 daycare on form 2441 or should I include all daycares ( including church based preschool with no EIN) ?
Please advise.
Thanks!
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You should enter all the daycare providers. If your child has multiple childcare providers, gather the necessary information (name, address, TIN/SSN/EIN, and amounts paid) from each provider. The total combined childcare expenses will be used to determine the child and dependent care credit amount. Each provider's information must be included on Form 2441.
See image below.
Because the child care credit is for up to $6000 of expenses, you get an additional credit of 20% x $1000 ($6000 limit minus $5000 DCFSA) if you enter at least $6000 of expenses. I don't know if there is practical value in adding all 3 providers, but you should at least enter some expenses for each child.
Makes sense to add expenses for each child.
Thanks!
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