Summer Day Camp and the Dependent Care Credit

For all you working parents out there – here is what you need to know about the Dependent Care Credit when it comes to Summer Day Camps.  If your child is under 13 and you need to arrange for additional care for them during the summer months then summer day camps are one way to accomplish this while still qualifying for the Dependent Care Credit on your federal tax return.

The cost of day camp counts as an expense towards the child and dependent care credit, however, overnight camps do not qualify.  If you have other childcare expenses during the year, then the cost of the summer camp gets added to this expense.  The actual credit can be as much as 35% of your qualifiying expenses – depending on your income.  You can use up to $3,000 of expenses per year for one child or $6,000 for two or more qualifying children. 

So remember when it comes to tax time that those summer camps you are paying for right now may be deductible on your tax return if your child is under 13.



About the author

Seattle CPA+John Huddleston has written extensively on tax related subjects of interest to small business owners. Since 2002, he has owned his own small business, Huddleston Tax CPAs. He is a graduate of Washington State University and the University of Washington School of Law.