BulldogTom Posted September 6, 2012 Report Share Posted September 6, 2012 I am finishing up my CPE for the year and came across something I did not notice. The FTB is asking for all sources of non taxable income on the Child and dependent Care Credit form (3805 or something like that). So I went into the software, and there is a tab for those items to be included. Funny thing is, no matter how much non-taxable income I put in (I went to 250K of child support), it did not affect the credit. And they do not appear anywhere on the form. I went through the instructions, and while the instructions call for the information, there is no place where those amounts are mentioned as a qualification for the credit. What is the FTB after? Are they just being "big brother"? Is this just a free audit item that will give FTB the right to deny based on incomplete information? I don't get what the FTB is searching for. Tom Hollister, CA Quote Link to comment Share on other sites More sharing options...
jainen Posted September 6, 2012 Report Share Posted September 6, 2012 >>what the FTB is searching for<< I guess they are looking for fraud. Same reason they require provider's phone number, which is also not on the federal form. In California this is a refundable credit so it can be claimed with no taxable AGI. But the taxpayer must at least report sufficient funds to maintain a household, one of the key requirements for a qualifying child. Quote Link to comment Share on other sites More sharing options...
Tax Prep by Deb Posted September 6, 2012 Report Share Posted September 6, 2012 That may have been true for 2010 but for 2011 it was no longer a refundable credit. Deb Quote Link to comment Share on other sites More sharing options...
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