The IRS only allows $3000 in childcare credit. I don't know anyone who pays only $250 a month in childcare. An average estimate for my area is about $8400 a year for a certified daycre center. Where does the IRS come up with these figures? I am going to move there and enroll my kids in THAT daycare!
2007-06-19 04:28:07 · 4 answers · asked by quirky 5 in Business & Finance ➔ Taxes ➔ United States
The limit that you can get a credit for is $3000 because that's how the law was written. It's not meant to be an amount that people would pay for full-time day care. The government is giving you PART of the amount that you pay - isn't intending to give you all of it.
Not too many years back, there wasn't ANY tax credit given for child care expenses. Be glad there's this credit available now.
The government doesn't pay for your child's food or clothes either. Supporting a child is the parent's responsibility. Day care is actually a personal expense, for a personal choice, and the government has decided to subsidize it somewhat for working parents.
2007-06-19 04:41:21 · answer #1 · answered by Judy 7 · 4⤊ 1⤋
Blame Congress, not the IRS. Congress writes the laws, the IRS must apply them as written.
2007-06-19 05:00:27 · answer #2 · answered by Bostonian In MO 7 · 2⤊ 1⤋
Never ask "Why?" when it comes to the tax code.
They had to drawn the line somewhere and that's where they it was drawn.
At least it is something.
2007-06-19 04:38:17 · answer #3 · answered by Wayne Z 7 · 0⤊ 1⤋
Becuase the government doesn't care about families anymore!!
2007-06-19 04:36:08 · answer #4 · answered by J*Mo 6 · 0⤊ 6⤋