Regarding child dependent care credit, we did a partial of the cost through FSA but when filling out the full amount in turbotax does it subtract the amount or should we?

Forum|Forum|5 years ago
January 23, 2021
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Looking to understand if we need to subtract our FSA before entering the total paid for dependent care or if TurboTax will subtract the FSA amount on our W2 on its own to determine any credit so we should enter the full amount paid for the year.

TurboTax Premier Online

Best answer by Opus 17

Answer all the questions exactly as TurboTax shows them, and TurboTax will do the calculations on form 2441. You will need to report the total amount that you paid for qualified care, as well as the name and Social Security number of the qualifying person receiving care and the caregiver. The amount you received from a dependent care flexible spending account is reported in box 10 of your W-2 and is automatically picked up by TurboTax. TurboTax will ask additional questions like, did you surrender or forfeit any of the money in the account or did you carry any of it forward to 2021. All this information will be put on the tax forms for you.

O

Opus 17Answer

Employee

Answer all the questions exactly as TurboTax shows them, and TurboTax will do the calculations on form 2441. You will need to report the total amount that you paid for qualified care, as well as the name and Social Security number of the qualifying person receiving care and the caregiver. The amount you received from a dependent care flexible spending account is reported in box 10 of your W-2 and is automatically picked up by TurboTax. TurboTax will ask additional questions like, did you surrender or forfeit any of the money in the account or did you carry any of it forward to 2021. All this information will be put on the tax forms for you.