My wife works as a preschool teacher and our oldest child goes to the same preschool. Can we deduct the preschool tuition fees and after care expenses we paid for him?

As long as the below requirements are met, you can potentially deduct the expenses:

Qualifying child

The taxpayer’s qualifying child is the taxpayer’s son, daughter, stepchild, foster child, sibling, stepsibling, or a descendant of any of them, who is under age 13 and can be claimed as a dependent by the taxpayer.

Divorced or separated parents 

Even if the taxpayer cannot claim a child as a dependent, the child is treated as the taxpayer’s qualifying person if:

• The child was under age 13 or was not physically or mentally able to care for himself or herself, and

• The taxpayer was the child’s custodial parent.

Abode 

The qualifying child must have lived with the taxpayer for more than half the year.

Support The qualifying child cannot have provided over half of his or her support during the year. 

Age

The qualifying child/dependent must be younger than the taxpayer claiming the qualifying child.

Work-related expenses

Expenses must be for care provided so the taxpayer and spouse can work or actively look for work. No credit is allowed if a taxpayer or spouse actively looking for work does not find a job and has no earned income for the year.

Payments to relatives 

Qualifying expenses cannot be paid to the taxpayer’s spouse, to the parent of the taxpayer’s qualifying child under age 13, to the taxpayer’s dependent, or to the taxpayer’s child who is under age 19 at the end of the year (whether or not a dependent). Payments to other relatives, even if living with the taxpayer, qualify.

Learn more about the requirements and limitations in IRS Publication 503, Child and Dependent Care Expenses.