Child care payments and any allowable child care credit

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Reference no: EM131087672

Susan Beale is a single mother with two children, ages three and six. She pays a total of $7,000 each year to a neighbor to care for her children while she works. Her employer reimburses $4,000 of this amount. Before considering the child care payments and reimbursement, her adjusted gross income is $44,000 and her taxable income is $36,000. Assuming that Susan files as a head of household, how should she report the child care payments and any allowable child care credit? (Hint: Complete the Form 2441 for Susan.)

From the book Contemporary Tax Practice 3rd Ed.

Reference no: EM131087672

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