Child and Dependent Care Credit Not Showing in Federal Review

[SpartanTom]

I entered my dependent care expenses, and the dependent care credit appears correctly in the 'Deductions and Credits' section of the Federal. However, in the final review for federal it displays the dependent care credit as $0. I've checked all of the qualifications for the credit and we should qualify. Why is it not showing up in the final total?

[JamesG1]

I am able to enter a Child and Dependent Care Credit in TurboTax Premier and pass Review.

Are you able to view the Federal 1040 tax return at Tax Tools / Print Center?

Are you able to view the Federal 2441 and see whether a credit was generated on line 10? Is there an entry on line 11?

Is there a page 2 to the Federal 2441?

Did the credit transfer to line 13g of Federal 1040 Schedule 3 Additional Credits and Payments?

Did the credit transfer to the Federal 1040 tax return on line 31?

Please clarify. Thank you.

See also this TurboTax Help.

[SpartanTom]

Thanks for your response, the credit was applied correctly in Form 2441 and transferred onto the 1040. For some reason, in the "explain why" section after the federal review is completed, it shows the Child and Dependent Care Credit as $0. There must be a bug for this explanation section of the federal review page. 

[JamesG1]

When I ran an example, I did not have a Review error so I am unclear what the Federal Review message was referring to.

It sounds like you received proper credit on the Federal 1040 but the Review message is confusing.

Please clarify.

[SpartanTom]

It's not an error message. After the review is completed and accepted, there is an "explain why" section beneath the estimated federal return. In this section, it shows that my dependent care credit is $0 when it is not $0 on the actual forms.

[spraino]

I'm seeing this behavior as well. The Federal Review section is listing $0 for Child Dependent Care Credit, however, I am finding it correct on the 1040 itself.

[iam0523]

Agree with this issue. It is clearly a UX issue mis representing the information. It does factor in the overall dues but in the "Review" section , it doesn't show the dependent care credit. Pls report this to your IT department. 

[CarissaM]

We would like to look into this further. Please follow the instructions here to contact us by phone. 

[lindsea22]

I am having the same issue and no one on the phone was able to help. I want to know my taxes are accurate before filing and I can't seem to review the forms until l file. 

[JulieS]

You can view parts or all of your tax return prior to filing it. Your Child and dependent Care Credit is partially refundable, so the credit is split into two parts, refundable and non-refundable.

One possible explanation for why you are seeing $0 on the summary is that you have $0, for one part of the credit, but you have a higher value for the other part.

If you are using TurboTax online, you can check your 1040, even if you have not finished yet:

1. On the left side menu, select  Tax Tools near the bottom.
2. Select Tools.
3. Select View Tax Summary from the list at the bottom of this box.
4. Select Preview my 1040 from the center of the left side menu.

Using this method you can see the total amount of Child Tax Credit on Schedule 3, line 2 and 13g.

If you are using TurboTax Desktop (disc or download):

1. Select the Forms icon in the upper right corner.
2. Highlight Form 2441 from the list on the left.
3. Your credit will be on line 10 and 11.

[Edited 04/07/22 | 8:06 PST}

[lindsea22]

This post and issue isn't about the child tax credit. This is about the dependent care credit. I'm not having issues with the child tax credit.

[JulieS]

I am referring to the Child Care Credit too, I just tagged it wrong. @lindsea22

[JJ_SLC]

Mine is doing this exact thing! Man, there have been so many bugs in turbotax this year....so frustrating because you call in and spend an hour or more on the phone just to find out that no one can fix it.  

[giannak215]

Mine is doing this too. 4 dependents and it shows 0 for child tax credit. First year this has ever happened. Turbotax what is the issue?

[JamesG1]

If you are reporting $0, your dependents are not qualifying children or the advance payments have offset the Child Tax Credit.

For tax year 2021, a qualifying child is an individual who does not turn 18 before January 1, 2022, and who satisfies the following conditions:

• The individual is the taxpayer’s son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of any of them (for example, a grandchild, niece, or nephew).
• The individual does not provide more than one-half of his or her own support during 2021.
• The individual lives with the taxpayer for more than one-half of tax year 2021.
• The individual is properly claimed as the taxpayer’s dependent.
• The individual does not file a joint return with the individual’s spouse for tax year 2021 or files it only to claim a refund of withheld income tax or estimated tax paid.
• The individual was a U.S. citizen, U.S. national, or U.S. resident alien.

The Child Tax Credit reported on line 28 of the Federal 1040 tax return is computed in two steps: 

• First, you are given full credit for the Child Tax Credit based upon your 2021 income and the dependent information entered into your tax return, then 
• Second, the benefit of the credit is reduced by the amount of any advance payments reported under Federal / Deductions & Credits / Your tax breaks / Advance payments, Child and Other Dependent Tax Credits at the screen Tell us about any Advance Child Tax Credit payments.

You are able to view the Child Tax Credit on line 28 of the Federal 1040 under Tax Tools / Tools / View Tax Summary / Preview my 1040 after each step.

Enter the information to generate the Child Tax Credit, then review line 28 of the Federal 1040 to see whether you have been given credit for the proper amount.

Then report the Advance Child Tax Credit payments received and reported on your IRS Letter 6419.

Review line 28 of the Federal 1040 to see whether you have been given credit for the proper amount.

This way you will be able to tell which step (if either) is incorrectly being reported on line 28 of the Federal 1040.

@giannak215