No one wants to have to pay more than necessary on their taxes!
Taxes are something that we all have to deal with, but no one wants to have to pay more than necessary. Luckily, as a parent, there are many tax credits that are available to you, and in our last blog, our day care in Monroe went over a couple of them. Keep reading to learn about more important tax credits for parents:
#3. Child Tax Credit
If you meet the income requirements, you may qualify for a tax credit for each qualifying child you have who is under the age of 17. The maximum credit available per child in 2015 is $1,000. To qualify, single taxpayers cannot make more than $75,000 annually and taxpayers filing jointly cannot make more than $110,000.
#4. Child and Dependent Care Credit
This tax credit was designed to give parents a certain amount of relief from the costs of child care. This credit partially refunds working parents for their child care (or dependent care) expenses. Although the credit you will recieve depends on many factors, the maximum you can get is $3,000 for one child and $6,000 for two or more children.
#5. Adoption Tax Credit
If you have adopted a child, you can take advantage of an additional tax credit called the Adopted Tax Credit. To qualify for this tax credit, the child you have adopted cannot be a step child, and he or she must be younger than 18 and/or unable to care for his or herself. The amount of the tax credit you get depends on how much income you make.