If you are an employer in Montana, you can claim a credit against your income tax liability for the amount that you paid or incurred during the year to provide dependent care assistance to your employees. There are three programs that are available to you that qualify for this credit, including:
●● A dependent care assistance credit.
●● A dependent care information and referral service credit.
For further instructions about the amount of the credit that is available, the carry forward provisions and how to calculate these credits, see Montana Form DCAC. When you claim these credits, you will have to include a copy of Form DCAC with your tax return.
**The Dependent Care Assistance Credit was relealed and may not be claimed after tax year 2021. You may carry forward any unused portion of your credit for up to 5 years, until tax year 2026, or until it has been exhausted, whichever comes first.**