In this episode, Dr. Friday explains the Child Dependent Care Credit, which allows you to claim up to $3,000 in expenses for a single child and a maximum of $6,000 for two or more children. However, if your employer provides a child care benefit program, you cannot claim both the credit and the employer benefit. If your employer’s benefit equals or exceeds $6,000, you will not qualify for the additional deduction. Dr. Friday emphasizes the importance of understanding tax laws and encourages listeners to seek professional help if needed.
Transcript:
G’day, I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one minute moment.
Child Dependent Care Credit. If your employer has a program where they allow you or they pay you so much money for that benefit, remember if you’re out paying money you cannot take both. You can take up to, so you can claim up to $3,000 in expenses for a single child. The maximum is $6,000 for two children and if you have four or five you still only get $6,000. And if your employer is giving you at least $6,000 in that care then you will not qualify for this additional deduction. Understanding your taxes is what I do. If you need help you need to call me 615-367-0819.
You can catch the Dr. Friday Call-In Show live every Saturday afternoon from 2 to 3 right here on 99.7 WTN.