I have 2 dependent children, earned income from w2, and paid for childcare so that i could work or look for work. but it wont let me claim the dependent care credit. why?

[ratkorn420]

i have double checked the "my info" section to make sure they are my dependents and lived with me all year. i got the child tax credit for each, but when i go through the dependent care credit, answer everything correctly, it says $0.

[Affordabletaxes2021]

Did you have a profit on your Sch C? 

[ThomasM125]

The first thing you should check is if your children are under the age of 13. If so, make sure you entered the care provider information properly, especially their tax payer identification number. Also, you can't be filing as married separate and you have to have lived in the United States for at least half the year to receive a refundable dependent care credit.

[SweetieJean]

You are asking from TT Self-Employed.  Do you also have SE income, and is there a profit from it?

[ratkorn420]

Thanks for your reply! I did check all that, they are both under 13. I even deleted them and re-entered them and still the same issue. 

[ratkorn420]

Ah, this might be the problem. I haven't worked through the self employment income and deductions for my spouse yet. So maybe TT software shows her as having no earned income yet. I will do the self employment stuff and try to claim the credit again. Thank you!

[Critter-3]

BINGO ... always work the program in the order it is presented ... income first BEFORE deductions and credits for reasons that are now apparent.