Hi. I need to report my spouse's Earned Income for determining our Child Care Credit. Should the earned income I report be before or after any deductions/credits? Thank you.
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Earned income will come from a W-2 or a Schedule C. If your spouse is self-employed, you enter the gross income on Schedule C. After reporting that income, you are allowed business related deductions. How do I report my Self-Employment Income? Once both spouses have earned income reported, you will be eligible for the Child and Dependent Care Credit. The link provided has instructions on how to enter SE income.
I realized I was confusing myself with Earned Income versus Adjust Gross Income which is the income determined after deductions and credits. Thank you for the helpful info and response!
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