I am trying to apply the 'Child and Dependent Care Expenses Credit' for the state of California, but it says I "have no earned income" but I do have earned income!

To clarify, what type of earned income do you have?

Hello, thank you for replying. My earned income is from my non-government job, where I receive a W-2 here in California. A typical 9-5, earning less than the maximum for this credit. I understand this credit can be earned if you meet all conditions, and it seems I do, unless my earned income doesn’t apply?

Although your salary income qualifies as earned income, you have to have taxable earned income. That implies that you must have a tax to apply the credit to. So, it is possible you are not receiving a credit because your income is so low that you don't have any tax to apply the credit against.

 

You can look at your tax summary for California to see if you have a tax liability. 

 

You can view your state tax summary while working in the online version of TurboTax by following these steps:

 

While working on your return in the State section of TurboTax:

 

   1.  Choose the Tax Tools icon on your left menu bar

   2.  Tools

   3.  View Tax Summary