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New Member
posted Jun 6, 2019 5:53:48 AM

$1000 Childcare Credit eligibility

Turbo tax auto added this to my return but we take the $5000 health savings acct option and I thought you could not do both

0 14 1737
14 Replies
Expert Alumni
Jun 6, 2019 5:53:49 AM

Also, I am presuming that the 5000 FSA (not HSA) was entered in Box 10 of your w2.

New Member
Jun 6, 2019 5:53:51 AM

Box 10 does have $5000 entered

New Member
Jun 6, 2019 5:53:52 AM

Just one kid. TT is giving the $1000 credit but we use the FSA acct (Line 10) and I can't override to remove the $1000 credit.

Expert Alumni
Jun 6, 2019 5:53:54 AM

Please review the answer I posted. This must relate to your response in the W2 area.

Expert Alumni
Jun 6, 2019 5:53:55 AM

ie. You put a value in Leftover amount field. Nothing else would permit you to get this credit.

New Member
Jun 6, 2019 5:53:56 AM

I answered NO to onsite childcare. 0.00 left

New Member
Jun 6, 2019 5:53:57 AM

I went back and even cleared the Leftover entry so nothing was typed in that space (even though all that was there was $0.00), and it is still taking the credit

Expert Alumni
Jun 6, 2019 5:53:59 AM

turbo tax knows this area pretty well. Please verify that you received the credit on your tax return:
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.

New Member
Jun 6, 2019 5:54:00 AM

FYI, I will have to step away soon : /
Can I get your assistance soon if I can't return to this for a couple hrs?

New Member
Jun 6, 2019 5:54:02 AM

Nothing showing in line 49

Line 7 > $5000

Level 15
Jun 6, 2019 5:54:03 AM

Are you confusing the 1,000 Child Tax Credit with the Child Care Credit?

Expert Alumni
Jun 6, 2019 5:54:05 AM

Line 7 is greater by $5000????And, line 49 is where the credit would be. You don't have one now .
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.

New Member
Jun 6, 2019 5:54:06 AM

Aha - that's it! Of course, overlooked the obvious. Thank you for walking me to it!

Expert Alumni
Jun 6, 2019 5:54:08 AM

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?
If you indicate in this area that you had a leftover amount in the FSA, you can receive a credit and exclude the $5000. Please review your responses to ensure you have answered correctly.