Knowledge system is not enabled for this account. Redirecting to LiveHelpNow... Who is eligible for the Minnesota Child and Dependent Care Credit? - Print

Who is eligible for the Minnesota Child and Dependent Care Credit?

Article ID: 35105  

Question
Who is eligible for the Minnesota Child and Dependent Care Credit?

Answer

Who is Eligible?

If you paid someone to care for your child or other qualifying person so that you (and your spouse, if filing a joint return) could work or look for work, you may be eligible for a credit based on your qualified expenses. You must have had earned income to take this credit.

 Qualified expenses and qualifying person are the same as for the federal credit for child and dependent care expenses. Exceptions: See If Your Child was Born this year (on this page) and Operators of Licensed Family Day Care Homes (on the next page).

To qualify for the credit, all of the following statements must be true:

• your household income is $39,000 or less (complete lines 1 through 6 of Schedule M1CD to determine household income);

• you are single, head of household, qualifying widow(er) or married filing a joint return (married persons filing separate returns do not qualify); and

• the qualifying person lived with you for more than one-half of the year.

The Minnesota credit is refundable, which means you may benefi t from the credit even if you have no state tax liability. This is different from the federal credit which can be used only to off set tax.

Before you complete this schedule, you must complete federal Form 2441—even if you did not claim the federal credit or file a federal return.

Nonresidents and part-year residents may be eligible for this credit, which is prorated by the percentage of earned income taxable to Minnesota.


Article Details
Views: 796 Created on: Jun 15, 2013