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blu6385
Member since 5/08 8351 total posts
Name:
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Accountant question - Child care and taxes
I have2 questions.
One is summer camp a write off. I use summer camp because I have to fr child care.
2nd question is a little more complicated right now not including camp I pay $18,470 in daycare and for before and after care.
Lets say next year it drops down to $6000-$8000 for before and aftercare only.
How much of this would affect my refund?
(I know things are changing with the new taxes that passed but lets pretend its not)
Message edited 2/1/2018 10:29:58 AM.
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Posted 2/1/18 10:26 AM  |
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Long Island Weddings
Long Island's Largest Bridal Resource |
MrsO
Big Brothers to Be
Member since 1/07 4521 total posts
Name:
Maureen
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Re: Accountant question - Child care and taxes
Hi
The drop in cost should not affect your refund since you can only claim up to 5k or6k if you have more than one child anyway
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| Posted 2/1/18 10:40 AM |
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NYCGirl80
I love my kiddies!
Member since 5/11 10413 total posts
Name:
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Re: Accountant question - Child care and taxes
I know you said ignore the tax changes, but there are so many tax changes for 2018, including a change to the child care credit, so it's like comparing apples to a cow. Different universes between 2017 and 2018 tax law.
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| Posted 2/1/18 3:08 PM |
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LSP2005
Bunny kisses are so cute!
Member since 5/05 19461 total posts
Name:
L
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Re: Accountant question - Child care and taxes
Posted by NYCGirl80
I know you said ignore the tax changes, but there are so many tax changes for 2018, including a change to the child care credit, so it's like comparing apples to a cow. Different universes between 2017 and 2018 tax law.
hahaha apple and cow. You are so right! It is impossible to tell you anything for 2018 because the tax changes were too substantive and there is barley any guidance written so no one really knows yet.
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| Posted 2/1/18 3:26 PM |
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blu6385
Member since 5/08 8351 total posts
Name:
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Re: Accountant question - Child care and taxes
Posted by LSP2005
Posted by NYCGirl80
I know you said ignore the tax changes, but there are so many tax changes for 2018, including a change to the child care credit, so it's like comparing apples to a cow. Different universes between 2017 and 2018 tax law.
hahaha apple and cow. You are so right! It is impossible to tell you anything for 2018 because the tax changes were too substantive and there is barley any guidance written so no one really knows yet.
you are right. I guess the question I really want to know is what is max you are allowed to claim/writeoff/get creidt for for child care.
I guess I can say based on how you file before the new tax changes and if anyone know after the new tax change.
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| Posted 2/1/18 4:03 PM |
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nraboni
Uggh...
Member since 10/09 6905 total posts
Name:
Nicole
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Accountant question - Child care and taxes
I "thought" you could only write-off up to $5,000 for child care.
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| Posted 2/1/18 4:18 PM |
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blu6385
Member since 5/08 8351 total posts
Name:
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Re: Accountant question - Child care and taxes
Posted by nraboni
I "thought" you could only write-off up to $5,000 for child care.
thanks. I have an accountant but I bother him so much would so many questions the past couple days I didn't want to really bug him more.  
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| Posted 2/1/18 4:48 PM |
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ali120206
2 Boys
Member since 7/06 17795 total posts
Name:
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Re: Accountant question - Child care and taxes
Posted by blu6385
Posted by nraboni
I "thought" you could only write-off up to $5,000 for child care.
thanks. I have an accountant but I bother him so much would so many questions the past couple days I didn't want to really bug him more.
The $5k is the amount you can get taken out of your paychecks pre-tax.
The $6k is the limit that you have to spend on daycare for the childcare tax credit if you have 2+ kids and I believe don't do the daycare flex spending. And it's not a $6k deduction - a multiplier is applied so it ends up being less.
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| Posted 2/1/18 4:51 PM |
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blu6385
Member since 5/08 8351 total posts
Name:
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Re: Accountant question - Child care and taxes
Posted by ali120206
Posted by blu6385
Posted by nraboni
I "thought" you could only write-off up to $5,000 for child care.
thanks. I have an accountant but I bother him so much would so many questions the past couple days I didn't want to really bug him more.
The $5k is the amount you can get taken out of your paychecks pre-tax.
The $6k is the limit that you have to spend on daycare for the childcare tax credit if you have 2+ kids and I believe don't do the daycare flex spending. And it's not a $6k deduction - a multiplier is applied so it ends up being less.
thank you I basically wanted to know when I start paying a lot less for daycare am I going to see major less of return it looks like I won't.
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| Posted 2/1/18 4:52 PM |
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ali120206
2 Boys
Member since 7/06 17795 total posts
Name:
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Re: Accountant question - Child care and taxes
Posted by blu6385
Posted by ali120206
Posted by blu6385
Posted by nraboni
I "thought" you could only write-off up to $5,000 for child care.
thanks. I have an accountant but I bother him so much would so many questions the past couple days I didn't want to really bug him more.
The $5k is the amount you can get taken out of your paychecks pre-tax.
The $6k is the limit that you have to spend on daycare for the childcare tax credit if you have 2+ kids and I believe don't do the daycare flex spending. And it's not a $6k deduction - a multiplier is applied so it ends up being less.
thank you I basically wanted to know when I start paying a lot less for daycare am I going to see major less of return it looks like I won't.
Nope - and you probably won't see a lot of extra money in your account each month either since there are different expenses - like sports, music, orthodontia, etc.
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| Posted 2/1/18 5:13 PM |
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