The Child and Dependent Care Credit Explained

Four young children and two adults sit around a green table, playing with colorful toys, creating a scene that emphasizes the importance of dependent care credit for families.

The Child and Dependent Care Credit became permanent starting with the 2012 tax year – giving working individuals with kids and other dependents a major way to offset their childcare and dependent care expenses. The Dependent Care Credit allows you to deduct up to 35% of your childcare bills, up to a maximum of $6,000.