- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Can I deduct a childcare service that I paid for but didn't use?
Posted on 2/4/17 at 5:00 pm
Posted on 2/4/17 at 5:00 pm
I paid $790 to a preschool as a reservation/first month tuition fee. I ended up not moving to the city with that preschool, but the fee was nonrefundable.
Can I still add this to dependent care expenses?
Can I still add this to dependent care expenses?
4
Posted on 2/4/17 at 5:22 pm to StringedInstruments
quote:
I paid $790 to a preschool
quote:
didn't use
Motherfrick.
Posted on 2/4/17 at 6:01 pm to SLafourche07
quote:
Motherfrick.
You must have missed my cryfest last August. Was a clusterfrick for sure.
$790 wasn't even half of it. Rented a duplex for $1500/month because it was the only decent place I could find. It sat empty in June and July. At the time, I had disposable savings and figured it would be worth having the place. To be fair, it was a hell of a deal for the area. shite happened and I lost a bunch of money on maintenance issues with my rental property and both of our cars needed expensive repairs. Moved to the duplex for three days. Then moved out. Spent $4500 on a three day stay in hell.
Live and learn. Can I deduct the $790?
Posted on 2/4/17 at 6:29 pm to StringedInstruments
If it was a deposit, doesn't look like it (not a tax lawyer and not giving tax advice): LINK
"Fees and deposits. Fees you paid to an agency to get the services of a care provider, deposits you paid to an agency or preschool, application fees, and other indirect expenses are work-related expenses if you have to pay them to get care, even though they aren't directly for care. However, a forfeited deposit isn't for the care of a qualify- ing person if care isn't provided."
"Fees and deposits. Fees you paid to an agency to get the services of a care provider, deposits you paid to an agency or preschool, application fees, and other indirect expenses are work-related expenses if you have to pay them to get care, even though they aren't directly for care. However, a forfeited deposit isn't for the care of a qualify- ing person if care isn't provided."
Posted on 2/4/17 at 6:33 pm to StringedInstruments
I would, I feel you have a reasonable argument if it were questioned
Posted on 2/4/17 at 6:55 pm to Tigerpaw123
quote:
feel you have a reasonable argument if it were questioned
This.
Posted on 2/4/17 at 7:54 pm to StringedInstruments
Agree with the above posters.
Also told thing is a joke, we spent 12000 and that only amounts to a 600 tax credit
/end rant
Also told thing is a joke, we spent 12000 and that only amounts to a 600 tax credit
/end rant
Posted on 2/4/17 at 10:15 pm to castorinho
I certainly would.
ALL tax strategy works, unless you're audited.
ALL tax strategy works, unless you're audited.
This post was edited on 2/4/17 at 10:16 pm
Posted on 2/5/17 at 6:59 am to StringedInstruments
I am literally in the exact same boat, except only $675. The school I paid the deposit to is also a church. If it gets a second look I'll amend to call it a charitable donation.
This post was edited on 2/5/17 at 7:01 am
Posted on 2/5/17 at 8:15 am to GaryMyMan
Interesting responses on here. I guess in answer to whether you can deduct, I guess you can do anything. Whether it is appropriately deductible under the code is another question. According to the IRS guidance I linked above, I don't think it is. Just my two cents.
I know there are a lot of accountants on here but haven't seen any of the weigh in unless I missed it.
I know there are a lot of accountants on here but haven't seen any of the weigh in unless I missed it.
Posted on 2/5/17 at 10:21 am to GaryMyMan
quote:
If it gets a second look I'll amend to call it a charitable donation.
If it gets a second look, they will likely deny it as a charitable contribution as it's over $250 and you would have not have had a contemporaneous written acknowledgement from the church that meets the standards of the tax code.
The IRS, and Louisiana, upon audit, are getting more picky about contributions.
To the OP... there are a couple of things that could trip you up.
1) It must be paid for care provided. It does not appear care was provided.
2) You AND your spouse must have been working or looking for work. I believe based on your past discussions you meet this... not sure about your wife.
Also, was it a deposit or a prepayment. The part that is a deposit is probably toast. If part of it was a prepayment, I could possibly argue that as value towards the child care credit - assuming you meet all the other rules. It would not be a slam dunk... but if I got some young inexperienced auditor, I could probably blow it past him.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News