Many working parents must arrange for care of their children under 13 years of age during the summer vacation. Day camp programs are a fun, popular solution – with a tax benefit.
The cost of day camp can count as an expense towards the child and dependent care credit. Expenses for overnight camps however do not qualify.
The credit is generally 20 to 35 percent of non-reimbursed expenses up to $3,000 in expenses for one child and $6,000 for two or more children. Actual credit is based on income.
Email Rea & Associates to learn more.