2441 Dependent Care Expenses paid by employer

[Saravia]

Taxpayers filling jointly both worked, and child 7 yr old.

Employer paid a third party to take care of dependent child, W2 Box 10 Dependent Care benefits show $3,600, which is what the employer paid for the dependent care expense. 

I am listing that in form 2441,

Line 1 - (e) Amount paid $3,600, and (f) Check if employer furnished care (X)-Check

Line 2, I am putting the "Qualify expenses you incurred and paid in 2021 for the person listed" $3600,

and "dependent care benefits received" $3,600

 

This qualifies taxpayer for a "Credit for Child and dependent care expenses" of $1,800.

Just want to make sure I am doing it correctly since none of this expensed were paid by the taxpayer. 

Thanks, 

 

 

[Pacun]

If reported only on line 1 of W2, take the credit. If reported on line 10, report it and the credit will be zero if that's the only child care expense incurred.

I think I am right.

[TexTaxToo]

You must use Part III of Form 2441. The W-2 box 10 amount should flow to line 12 and will reduce the credit to zero.