This lesson discusses the credit for child and dependent care expenses. Some taxpayers may not be aware of this credit. Your time and effort may result in a lower tax for the taxpayers.
To determine if a taxpayer is eligible for the credit, review the intake and interview sheet, and let your probing interview be guided by the Credit for Child & Dependent Care Expenses decision tree and the tips in the Volunteer Resource Guide, Nonrefundable Credits tab.
Whether the taxpayer is filing a Form 1040 or Form 1040A, calculate the credit using Form 2441.
Do not confuse this credit with the child tax credit!