Who qualifies for the Colorado Child Care Expenses Credit?

Eligibility To be able to claim the Colorado credit for child care expenses, you must file federal form 1040, 1040SR, 1040SP, or 1040NR and you (and/or your spouse) must have been a part or full-year resident of Colorado. Colorado non-resident filers may not claim this credit. If you did not file a federal income tax return, you may still be eligible for the Low Income Child Care Expenses credit. To claim the low income credit, you must complete and submit with your Colorado return, federal return and form 2441.

You must also meet all of the following tests:

1. The care must be for one or more qualifying persons who are identified on federal form 2441.

2. You (and your spouse if filing jointly) must have earned income during the year.

3. You must pay child care expenses so you (and your spouse if filing jointly) can work or look for work. Qualifying expenses are defined under Section 21 of the Internal Revenue Code.

4. You must make payments for child care expenses to someone you (and your spouse) cannot claim as a dependent. If you make payments to your child, he or she cannot be your dependent and must be age 19 or older by the end of the year. You cannot make payments to: a. Your spouse, or b. The parent of your qualifying person if your qualifying person is your child and under the age of 13.

5. You cannot claim this credit if your federal filing status is Married Filing Separate.

6. You must identify the care provider on this form. It is recommended that you fully review IRS Publication 503 for eligibility tests and the definition of qualifying income and children. All of the information in this form is required and your credit may be denied if it is incomplete.