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.
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.
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?