The Child and Dependent Care Tax Credit (CDCTC) is a tax credit that helps working families pay expenses for the care of children, adult dependents or an incapacitated spouse. Families can claim up to $3,000 in dependent care expenses for one child/dependent and $6,000 for two children/dependents per year. The credit is worth between 20 percent and 35 percent of these expenses, depending on a family’s income. Eligible families with adjusted gross income (AGI) of $15,000 or less can claim 35 percent of these expenses for a maximum potential credit of $2,100. The percentage of expenses a family can claim steadily decreases as income rises, until families with AGI of $43,000 or more reach the minimum claim rate of 20 percent, qualifying for a maximum potential credit of $1,200.

Unlike the Earned Income Tax Credit and the Child Tax Credit, the CDCTC is non-refundable. This means that if a family does not earn enough money to owe federal income taxes, it cannot benefit from the credit.

View the CDCTC Legislative Tracker

For more information about the Child and Dependent Care Tax Credit:

For more information about the Child and Dependent Care Tax Credit:

Filing for the CDCTC

You must file a federal tax return to claim the CDCTC. Learn how to file for the credit below.