Why does my 18 month old biological child not count for the Child and Dependent Care Credit? It does not offer any relevant explanation.

[MichaelMc]

An 18 month old child certainly qualifies, by age, for the Child and Dependent Care Credit, but there are several other tests that must be passed in order for you to receive the credit. Possible reasons for failure to qualify are:

• You are Married Filing Separately;
• You (and your spouse if Married Filing Jointly) had no earned income;
• You had no work-related child care expenses;
• You did not pay child care expenses to someone who is not also your dependent; or
• You did not provide all required identifying information about a paid provider.

For more details on the above tests, please refer to:

IRS Pub. 503 Child and Dependent Care Expenses

[cameron-colliers]

I am filing together with my wife; we both have earned income; we had work-related childcare expenses, and we pay for child care at a separate provider. I don't understand why I cannot get the Child and Dependent Care Credit.

[xmasbaby0]

You are posting from Self-employed. If either of you showed a loss instead of a profit, you do not qualify for the childcare credit.

[cameron-colliers]

We both made a profit this year. It says that my wife and I could apply for the credit, but that our daughter (and sole dependent) is not eligible.

[xmasbaby0]

Try this "low tech" solution.  Go to My Info and delete the child.  Then re-enter her as a dependent. When you go through the screens make sure you say she lived with you the whole year, and that you say NO to the question about whether she paid for over half of her own support.

[cameron-colliers]

Thank you that worked! Sounds like user error

[xmasbaby0]

Yay!  So glad it is fixed for you!