Filing a Child Day Care Tax Deduction

A single or married working parents who have a child under 13 years of age can file for a child day care tax deduction under the Child and Dependent Care Credit offered by the IRS. A maximum of 35% tax credit of the child or dependent's care expenses can be a good source of financial benefits if your application qualifies.

Day Care Tax Credit Qualifications

Parents who wish to apply their child for the IRS day care tax exemption must have an earned income. The dependent can be a biological or legally adopted child, or a qualifying relative who have lived with the supporting parents at least 6 months within the year the credit is filed. For couples who are married, they must file a joint return for the claim to be considered. On the other hand, the child care provider whether a single person or a company should be entities that received payments for the services rendered.

Day Care Tax Credit Requirements

To file for the tax deduction incentive, you need the following requirements to claim the credit:

• Completed Form 1040 or 1040A. Nonresident Aliens must use Form 1040NR.

• Name and Tax Identification Number of the dependent. For individuals whose dependent is a legal nonresident or a resident alien, an ITIN should be provided.

• Information of the child care provider's TIN (SSN for individuals) or Employment Identification Number (for an organization), name, and address.