There are many good things that come with the summer season; however for parents it may seem like there are more concerning, than fun, things taking place. For instance, your kid isn’t in school anymore which means they will need to be entertained every day. You’re likely trying to decide what to do that won’t break the bank just to keep your child busy.

If you’re already working, you’re likely worried about the costs for daycare. If you’re not working, but had planned on doing so, you’re once again in the same boat, deciding if working is best right now if you have to pay for daycare.

Either way, whether you’re a working or stay-at-home parent, summer day camp may be just the solution for your dilemma. Did you know you can even save over $2,000 on taxes simply because your child attended Camp Sonshine this summer? Don’t worry, most parents aren’t aware of this either!

Thanks to the Child and Dependent Care Credit, you could be qualify to receive as much as $1,050 for one child under the age of 13 and for two or more children under 13, as much as $2,100. For disabled children there is no age limit. Unfortunately, this applies to summer ‘day’ camps, not ‘overnight’ camps.

To determine if you qualify consider the following guidelines and you could possibly save money with the Child and Dependent Care Credit by enrolling your child in summer day camp.

  • The child should be your dependent and under 13 when they attended summer day camp. Note: Spouses and other dependents that have mental or physical disabilities may also qualify.
  • You must be looking for or already working when your child attends summer camp or daycare.
  • You can file single, head of household, married filing jointly, or a qualifying widow(er) with a dependent listed.
  • The child must have lived with you longer than half of the year for the tax year you’re filing.
  • You must identify the care provider on your tax return (spouse does not qualify), the parent of the qualifying child or the dependent who is under 19 by end of the tax year.

Just being aware of this tax credit could help a lot of parents, including you, when deciding if it’s the right time to go back to work. In addition, knowing you’re saving (or making) money while your kids are having fun in a safe environment will bring you peace of mind also.

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