Childcare Contribution Tax Credit

[ldhatlerpt]

When helping my mom with her taxes, we entered the amount on the DR 1317 form. In past years, and with my income taxes, upon entering this number, the amount of the return changes by that. This is not happening. Why is that not happening for her taxes, when we enter the number?

[MarilynG1]

The Refund Meter does not always immediately change when you make an entry in TurboTax.

That is normal.  

Sometimes it won't change until you finish a section (such as Income or Deductions).

Click this link for more info on the TurboTax Refund Meter. 

[ldhatlerpt]

Thank you. That makes sense. But shouldn't that show up when I'm checking for errors?

[ldhatlerpt]

She is retired and gets her income from PERA. Because Colorado does not tax that income, does that mean she has no taxes to get credited back to her?

[MarilynG1]

If she had no Earned Income, she would not qualify for a Child Care Credit in her Federal Return on Form 2441.

Colorado says that to be eligible for the credit,  the taxpayer needs to have Child Care Expenses on Form 2441 in the Federal return.

"The Colorado child care expenses tax credit is allowed only for qualified expenses properly claimed on federal Form 2441 and incurred for the care of children under the age of 13."

Click this link for more info from Colorado Dept. of Revenue. 

[ldhatlerpt]

This is not about child care expenses, but about a donation she made to an organization that benefits children (related to form DR 1317). 

[MarilynG1]

If she owed no tax to apply the Credit to, it may Carryover to be used next year. 

When you View, Print or Download your return, look for the Carryover Worksheet.

Click this link for more info about the Colorado DR 1317. 

[ldhatlerpt]

Thank you. That makes sense to me then.