Child Care Income Tax Deduction
Current Status: WaitingAs of
As part of the Affordable Childcare and Eldercare Act:
"Rewriting the tax code to allow working parents to deduct from their income taxes child care expenses for up to four children and elderly dependents."
"Americans will be able to take an above-the-line deduction for children under age 13 that will be capped at state average for age of child, and for eldercare for a dependent. The exclusion will not be available to taxpayers with total income over $500,000 Married-Joint /$250,000 Single, and because of the cap on the size of the benefit, working and middle class families will see the largest percentage reduction in their taxable income.
The childcare exclusion would be provided to families who use stay-at-home parents or grandparents as well as those who use paid caregivers, and would be limited to 4 children per taxpayer. The eldercare exclusion would be capped at $5,000 per year. The cap would increase each year at the rate of inflation."
None of these policies seem to have been addressed, let alone included, in the Republican budget reconciliation/tax bill that was signed into law in late 2017.