Day care tax breaks
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Day care tax breaks
KAI RYSSDAL: Summer officially starts next week, so let’s kickoff the annual summer ritual that’s happening in living rooms all over the country. Drum roll, please . . . what should we do with the kids? Daycare, overnight camps, sports camps, theater camps, you get the idea. But what if I told you Uncle Sam can help in the form of tax breaks. Kathy Kristoff is with the Los Angeles Times
KATHY KRISTOFF: The child and dependent care credit anybody can take as long as you have your child is under the age of 13 who you are spending to money to have watched so both parents can work or attend school.
Parents that means you can claim as much as $3,000 per child or $6,000 total in day care expenses. Of course, as with anything to do with the tax code, exceptions make the rule. Like if your child is physically or mentally disabled the age limit doesn’t apply, or my personal favorite:
KRISTOFF: You can’t claim a deduction for having one dependent watch another
Another thing you can’t claim: overnight camps. The tax breaks only apply to day care or day camps.
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