Claiming Summer Camp Expenses On Your Tax Returns

Keeping children busy and entertained during the summer months when school is out is no easy task for parents. One alternative is sending the youngsters to summer camp, which is typically not a small expense. However, tClaiming Summer Camp Expenses On Your Tax Returns

During the school year, working parents have the luxury of not having to find someone to care for their younger children during normal school hours. In this case, children only need care during the hours between the time school ends and when a parent arrives home from work, which may be two to three hours at the most. However, during the summer this changes when school end and parents must find day-long care for their children. Many parents send their kids to camp during the summer to solve this problem. Is there any tax relief for parents in this situation?

Working parents that qualify for the Child and Dependent Care Credit may utilize it during summer vacation, in addition to the school year, since the cost of day camp may count as an expense towards the Child and Dependent Care Credit. Even camps that focus on a particular sport or activity qualify if the camp was selected to provide care while the parent or parents were at work. However, expenses for overnight camps, schooling or tutoring do not qualify.

To qualify for the Child and Dependent Care Credit, a taxpayer must:

  • Have earned income for the tax year.
  • Be the custodial parent or main caretaker of the child or dependent.
  • Use the child or dependent care service for the purpose of working or looking for employment.
  • Have a filing status that is either single, head of household, qualifying widow or widower with a dependent child, or married filing jointly.
  • Claim the credit only for a child or dependent under 13, or disabled and physically or mentally incapable of caring for herself.
  • Use a childcare provider that is not a spouse, dependent or the child’s parent.

The credit can be up to 35 percent of qualifying expenses, depending on a taxpayer’s income. Taxpayers may use up to $3,000 of the unreimbursed expenses paid in a year for one qualifying individual or $6,000 for two or more qualifying individuals to figure the credit.

If you are a parent in the Tri-State area and have a question about the Child and Dependent Care Credit, call THE TAX EXPERTS at the Thorgood Law Firm www.thorgoodlaw.com. For a FREE consultation call 212-490-0704.

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