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Future Developments

Publication 503

For the latest information about developments related to

Pub. 503, such as legislation enacted after it was

published, go to IRS.gov/Pub503.

Child and

What’s New

Dependent

Care Expenses

Trump account and new Form 4547. Recent legislation

allows parents, guardians, and other authorized

individuals to elect to establish a new type of individual

retirement account, called a Trump account, for the

exclusive benefit of certain children. If the child was born

after 2024 and before 2029, is a U.S. citizen, and meets

certain other requirements, the authorized individual may

also elect to receive a $1,000 pilot program contribution to

the child’s Trump account. Both elections can be made on

Form 4547, which can be filed at the same time as the

authorized individual’s 2025 income tax return. For more

information on Trump accounts, and to learn how to make

these elections, see Form 4547 and its instructions.

For use in preparing

2025 Returns

Reminders

Taxpayer identification number needed for each qualifying person. You must include on line 2 of Form 2441,

Child and Dependent Care Expenses, the name and taxpayer identification number (generally, the social security

number (SSN)) of each qualifying person. See Taxpayer

identification number under Who Is a Qualifying Person,

later.

You may have to pay employment taxes. If you pay

someone to come to your home and care for your dependent or spouse, you may be a household employer who has

to pay employment taxes. Usually, you aren't a household

employer if the person who cares for your dependent or

spouse does so at their home or place of business. See

Do You Have Household Employees, later.

Photographs of missing children. The IRS is a proud

partner with the National Center for Missing & Exploited

Children® (NCMEC). Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. You can help bring

these children home by looking at the photographs and

calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child.

Introduction

Get forms and other information faster and easier at:

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Nov 18, 2025

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This publication explains the tests you must meet to claim

the credit for child and dependent care expenses. It explains how to figure and claim the credit.

You may be able to claim the credit if you pay someone

to care for your dependent who is under age 13 or for your

spouse or dependent who isn't able to care for

Publication 503 (2025) Catalog Number 15004M

Department of the Treasury Internal Revenue Service www.irs.gov

themselves. The credit can be up to 35% of your employment-related expenses. To qualify, you must pay these expenses so you (or your spouse if filing jointly) can work or

look for work.

This publication also discusses some of the employment tax rules for household employers.

Dependent care benefits. If you received any dependent care benefits from your employer during the year, you

may be able to exclude all or part of them from your income. You must complete Form 2441, Part III, before you

can figure the amount of your credit. See Dependent Care

Benefits under How To Figure the Credit, later.

Comments and suggestions. We welcome your comments about this publication and suggestions for future

editions.

You can send us comments through IRS.gov/

FormComments. Or, you can write to the Internal Revenue

Service, Tax Forms and Publications, 1111 Constitution

Ave. NW, IR-6526, Washington, DC 20224.

Although we can’t respond individually to each comment received, we do appreciate your feedback and will

consider your comments and suggestions as we revise

our tax forms, instructions, and publications. Don’t send

tax questions, tax returns, or payments to the above address.

Getting answers to your tax questions. If you have

a tax question not answered by this publication or the How

To Get Tax Help section at the end of this publication, go

to the IRS Interactive Tax Assistant page at IRS.gov/

Help/ITA where you can find topics by using the search

feature or viewing the categories listed.

Getting tax forms, instructions, and publications.

Go to IRS.gov/Forms to download current and prior-year

forms, instructions, and publications.

Ordering tax forms, instructions, and publications.

Go to IRS.gov/OrderForms to order current forms, instructions, and publications; call 800-829-3676 to order

prior-year forms and instructions. The IRS will process

your order for forms and publications as soon as possible.

Don’t resubmit requests you’ve already sent us. You can

get forms and publications faster online.

Useful Items

You may want to see:

Publication

501 Dependents, Standard Deduction, and Filing

Information

501

926 Household Employer's Tax Guide

926

Form (and Instructions)

2441 Child and Dependent Care Expenses

2441

Schedule H (Form 1040) Household Employment

Taxes

Schedule H (Form 1040)

W-10 Dependent Care Provider's Identification and

Certification

W-10

See How To Get Tax Help near the end of this publication

for additional information.

Can You Claim the Credit?

To be able to claim the credit for child and dependent care

expenses, you must file Form 1040, 1040-SR, or

1040-NR, and meet all the tests in Tests you must meet to

claim a credit for child and dependent care expenses next.

Tests you must meet to claim a credit for child and

dependent care expenses. To be able to claim the

credit for child and dependent care expenses, you must

meet all the following tests.

1. Qualifying Person Test. The care must be for one or

more qualifying persons who are identified on Form

2441. (See Who Is a Qualifying Person, later.)

2. Earned Income Test. You (and your spouse if filing

jointly) must have earned income during the year.

(However, see Rule for student-spouse or spouse not

able to care for self under You Must Have Earned Income, later.)

3. Work-Related Expense Test. You must pay child

and dependent care expenses so you (or your spouse

if filing jointly) can work or look for work. (See Are

These Work-Related Expenses, later.)

4. You must make payments for child and dependent

care to someone you (and your spouse) can't claim as

a dependent. If you make payments to your child (including stepchild or foster child), they can't be your

dependent and must be age 19 or older by the end of

the year. You can't make payments to:

a. Your spouse, or

b. The parent of your qualifying person if your qualifying person is your child and under age 13.

See Payments to Relatives or Dependents under

Are These Work-Related Expenses, later.

5. Joint Return Test. Your filing status may be single,

head of household, or qualifying surviving spouse. If

you are married, you must file a joint return, unless an

exception applies to you. See What’s Your Filing Status, later.

6. Provider Identification Test. You must identify the

care provider on your tax return. (See Care Provider

Identification Test, later.)

7. If you exclude or deduct dependent care benefits provided by a dependent care benefit plan, the total

amount you exclude or deduct must be less than the

dollar limit for qualifying expenses (generally, $3,000 if

you had one qualifying person or $6,000 if you had

two or more qualifying persons) in order for you to

claim a credit on the remaining amount. (If you had

two or more qualifying persons, the amount you exclude or deduct will always be less than the dollar limit

because the total amount you can exclude or deduct

Publication 503 (2025)

is limited to $5,000. See Reduced Dollar Limit under

How To Figure the Credit, later.)

These tests are presented in Figure A and are also explained in detail in this publication.

Who Is a Qualifying Person?

Your child and dependent care expenses must be for the

care of one or more qualifying persons.

A qualifying person is:

1. Your qualifying child who is your dependent and who

was under age 13 when the care was provided (but

see Child of divorced or separated parents or parents

living apart, later);

2. Your spouse who wasn't physically or mentally able to

care for themselves and lived with you for more than

half the year; or

3. A person who wasn't physically or mentally able to

care for themselves, lived with you for more than half

the year, and either:

a. Was your dependent, or

b. Would have been your dependent except that:

i. They received gross income of $5,200 or

more,

ii. They filed a joint return, or

iii. You, or your spouse if filing jointly, could be

claimed as a dependent on someone else's

2025 return.

Dependent defined. To be your dependent, a person

must be your qualifying child or your qualifying relative. In

determining whether you may claim a person as a qualifying relative for 2025, the person's gross income must be

less than $5,200.

Qualifying child. To be your qualifying child, a child

must live with you for more than half the year and meet

other requirements.

More information. For more information about who is

a dependent or a qualifying child, see Pub. 501.

Physically or mentally not able to care for oneself.

Persons who can't dress, clean, or feed themselves because of physical or mental disabilities are considered not

able to care for themselves. Also, persons who must have

constant attention to prevent them from injuring themselves or others are considered not able to care for themselves.

Person qualifying for part of year. You determine a

person's qualifying status each day. For example, if your

child for whom you pay child and dependent care expenses turns 13 years old and no longer qualifies on September 16, count only those expenses through September 15.

Also see Yearly limit under Dollar Limit, later.

Publication 503 (2025)

Birth or death of otherwise qualifying person. In determining whether a person is a qualifying person, a person who was born or died in 2025 is treated as having

lived with you for more than half of 2025 if your home was

the person's home more than half the time they were alive

in 2025.

Taxpayer identification number. You must include on

your return the name and taxpayer identification number

(generally, the SSN) of the qualifying person(s). If the correct information isn't shown, the credit may be reduced or

disallowed.

Individual taxpayer identification number (ITIN) for

aliens. If your qualifying person is a nonresident or resident alien who doesn't have and can't get an SSN, use

that person's ITIN. The ITIN is entered wherever an SSN

is requested on a tax return. If the alien doesn't have an

ITIN, they must apply for one. See Form W-7, Application

for IRS Individual Taxpayer Identification Number, for details.

An ITIN is for tax use only. It doesn't entitle the holder to

social security benefits or change the holder's employment or immigration status under U.S. law.

Caution: If your ITIN wasn’t included on at least one U.S.

federal tax return for the last 3 consecutive tax years, it expires on December 31 of the third consecutive tax year,

and must be renewed before being used again on a U.S.

federal tax return. See the Instructions for Form W-7 or go

to IRS.gov/ITIN for more information.

Adoption taxpayer identification number (ATIN). If

your qualifying person is a child who was placed in your

home for adoption and for whom you don't have an SSN,

you must get an ATIN for the child. File Form W-7A, Application for Taxpayer Identification Number for Pending U.S.

Adoptions.

Child of divorced or separated parents or parents living apart. Even if you can't claim your child as a dependent, they are treated as your qualifying person if:

• The child was under age 13 or wasn't physically or

mentally able to care for themselves;

• The child received over half of their support during the

calendar year from one or both parents who are divorced or legally separated under a decree of divorce

or separate maintenance, are separated under a written separation agreement, or lived apart at all times

during the last 6 months of the calendar year;

• The child was in the custody of one or both parents for

more than half the year; and

• You were the child's custodial parent.

The custodial parent is the parent with whom the child

lived for the greater number of nights in 2025. If the child

was with each parent for an equal number of nights, the

custodial parent is the parent with the higher adjusted

gross income. For details and an exception for a parent

who works at night, see Pub. 501.

The noncustodial parent can't treat the child as a qualifying person even if that parent is entitled to claim the child

as a dependent under the special rules for a child of divorced or separated parents.

You Must Have Earned Income

To claim the credit, you (and your spouse if filing jointly)

must have earned income during the year.

Earned income. Earned income includes wages, salaries, tips, other taxable employee compensation, and net

earnings from self-employment. A net loss from self-employment reduces earned income. Earned income also includes strike benefits and any disability pay you report as

wages.

Generally, only taxable compensation is included. For

example, foreign earned income you exclude from income

isn't included. However, you can elect to include nontaxable combat pay in earned income. If you are filing a joint

return and both you and your spouse received nontaxable

combat pay, you can each make your own election. (In

other words, if one of you makes the election, the other

one can also make it but doesn't have to.) Including this income will give you a larger credit only if your (or your

spouse's) other earned income is less than the amount

entered on line 3 of Form 2441.

Tip: You can elect to include your nontaxable combat

pay in earned income when figuring your credit for child

and dependent care expenses, even if you elect not to include it in earned income for the earned income credit or

the exclusion or deduction for dependent care benefits.

Members of certain religious faiths opposed to social

security. This section is for persons who are members of

certain religious faiths that are opposed to participation in

Social Security Act programs and have an IRS-approved

form that exempts certain income from social security and

Medicare taxes. These forms are:

• Form 4361, Application for Exemption From Self-Em-

ployment Tax for Use by Ministers, Members of Religious Orders and Christian Science Practitioners; and

• Form 4029, Application for Exemption From Social Security and Medicare Taxes and Waiver of Benefits, for

use by members of recognized religious groups.

Each form is discussed here in terms of what is or isn't

earned income for purposes of the child and dependent

care credit. For information on the use of these forms, see

Pub. 517, Social Security and Other Information for Members of the Clergy and Religious Workers.

Form 4361. Whether or not you have an approved

Form 4361, amounts you received for performing ministerial duties as an employee are earned income. This includes wages, salaries, tips, and other taxable employee

compensation.

However, amounts you received for ministerial duties,

but not as an employee, don't count as earned income.

Examples include fees for performing marriages and

honoraria for delivering speeches.

Any amount you received for work that isn't related to

your ministerial duties is earned income.

Form 4029. Whether or not you have an approved

Form 4029, all wages, salaries, tips, and other taxable employee compensation are earned income.

However, amounts you received as a self-employed individual don't count as earned income.

What isn't earned income? Earned income doesn't include:

• Amounts excluded as foreign earned income (including any housing exclusion) on Form 2555, line 43;

• Pensions and annuities;

• Social security and railroad retirement benefits;

• Workers' compensation;

• Interest and dividends;

• Unemployment compensation;

• Scholarships or fellowship grants, except for those reported on Form W-2 and paid to you for teaching or

other services;

• Nontaxable workfare payments;

• Child support payments received;

• Income of a nonresident alien that isn't effectively connected with a U.S. trade or business; or

• Any amount received for work while an inmate in a penal institution.

Rule for student-spouse or spouse not able to care

for self. Your spouse is treated as having earned income

for any month that they are:

1. A full-time student, or

2. Physically or mentally not able to care for themselves.

(Your spouse must also live with you for more than

half the year.)

If you are filing a joint return, this rule also applies to

you. You can be treated as having earned income for any

month you are a full-time student or not able to care for

yourself.

Figure the earned income of the nonworking spouse,

described under (1) or (2) above, as shown under Earned

Income Limit under How To Figure the Credit, later.

This rule applies to only one spouse for any 1 month. If,

in the same month, both you and your spouse didn't work

and are either full-time students or not physically or mentally able to care for yourselves, only one of you can be

treated as having earned income in that month.

Full-time student. You are a full-time student if you

are enrolled at a school for the number of hours or classes

that the school considers full-time. You must have been a

full-time student for some part of each of 5 calendar

months during the year. (The months need not be consecutive.)

School. The term “school” includes high schools, colleges, universities, and technical, trade, and mechanical

Publication 503 (2025)

Figure A. Can You Claim the Credit?

Start Here

Was the care for one or more qualifying persons?

▶

Yes

▼

Did you1 have earned income during the year?

▶

Yes

▼

Did you pay the expenses to allow you to work or look for work?

▶

Yes

▼

Were your payments made to someone you or your spouse could

claim as a dependent?

Yes

▶

▼

Were your payments made to your spouse or to the parent of your

qualifying person who is your qualifying child and under age 13?

Yes

▶

▼

Were your payments made to your child who was under the age of

19 at the end of the year?

▼

Yes

▶

Are you single?

▶

Are you filing a joint return?

▼

Yes

▼

Do you meet the requirements

to be considered unmarried?

▶

Yes

▼

Yes

▼

Do you know the care provider’s name, address,

and identifying number?

▼

Did you make a reasonable effort to get this

information? (See Due diligence.)

▼

▶

Yes

▼

▶

Did you have more than one qualifying person?

▼

Are you excluding or deducting at least $3,000

of dependent care benefits?

Yes

▶

▼

▶

You may be able to claim the child and

dependent care credit. Fill out Form 2441.

▼

You CAN’T claim the child

and dependent care credit. 2

This also applies to your spouse, unless your spouse was disabled or a full-time student.

If you had expenses that met the requirements for 2024, except that you didn’t pay them until 2025, you may be able to claim those expenses in 2025. See

Expenses not paid until the following year under How To Figure the Credit.

Publication 503 (2025)

schools. A school doesn't include an on-the-job training

course, correspondence school, or school offering courses only through the Internet.

Are These Work-Related Expenses?

Child and dependent care expenses must be work related

to qualify for the credit. Expenses are considered work related only if both of the following are true.

• They allow you (or your spouse if filing jointly) to work

or look for work.

• They are for a qualifying person's care.

Working or Looking for Work

To be work related, your expenses must allow you to work

or look for work. If you are married, you or your spouse

must work or look for work. Note, however, that employment-related expenses are limited to the lower of the

earned income of you or your spouse. If you or your

spouse was a full-time student or disabled, see Rule for

student-spouse or spouse not able to care for self, earlier.

Your work can be for others or in your own business or

partnership. It can be either full-time or part-time and it

can be either in or out of your home.

Work also includes actively looking for work. However,

if you don't find a job and have no earned income for the

year, you can't take this credit. See You Must Have Earned

Income, earlier.

An expense isn't considered work related merely because you had it while you were working. The purpose of

the expense must be to allow you to work. Whether your

expenses allow you to work or look for work depends on

the facts.

Example 1. The cost of a babysitter while you and

your spouse go out to eat isn't normally a work-related expense.

Example 2. You work during the day. Your spouse

works at night and sleeps during the day. You pay for care

of your 5-year-old child during the hours when you are

working and your spouse is sleeping. Your expenses are

considered work related.

Volunteer work. For this purpose, you aren't considered

to be working if you do unpaid volunteer work or work for a

nominal salary.

Work for part of year. If you work or actively look for

work during only part of the period covered by the expenses, then you must figure your expenses for each day. For

example, if you work all year and pay care expenses of

$250 a month ($3,000 for the year), all the expenses are

work related. However, if you work or look for work for only

2 months and 15 days during the year and pay expenses

of $250 a month, your work-related expenses are limited

to $625 (21/2 months × $250).

Temporary absence from work. You don't have to figure your expenses for each day during a short, temporary

absence from work, such as for vacation or a minor illness, if you have to pay for care anyway. Instead, you can

figure your credit including the expenses you paid for the

period of absence.

An absence of 2 weeks or less is a short, temporary absence. An absence of more than 2 weeks may be considered a short, temporary absence, depending on the circumstances.

Example 1. You pay a dependent care center, which

complies with all state and local regulations, to care for

your 2-year-old daughter so you can work full-time. The

center requires payment for days when a child is absent.

You take 8 days off from work as vacation days. Because

the absence is less than 2 consecutive calendar weeks,

your absence is a short, temporary absence. You aren't required to allocate expenses between days worked and

days not worked. The entire fee for the period that includes the 8 vacation days may be a work-related expense.

Example 2. You pay a nanny to care for your

2-year-old son and 4-year-old daughter so you can work.

You become ill and miss 4 months of work but receive sick

pay. You continue to pay the nanny to care for the children

while you are ill. Your absence isn't a short, temporary absence, and your expenses aren't considered work related.

Part-time work. If you work part-time, you must generally

figure your expenses for each day. However, if you are required to pay for care weekly, monthly, or in another way

that includes both days worked and days not worked, you

can figure your credit including the expenses you paid for

days you didn't work. Any day when you work at least 1

hour is a day of work.

Example 1. You work 3 days a week. While you work,

your 6-year-old child attends a dependent care center,

which complies with all state and local regulations. You

can pay the center $150 for any 3 days a week or $250 for

5 days a week. Your child attends the center 5 days a

week. You must allocate your expenses for dependent

care between days worked and days not worked; your

work-related expenses are limited to $150 a week.

Example 2. The facts are the same as in Example 1,

except the center doesn't offer a 3-day option. The entire

$250 weekly fee may be a work-related expense.

Care of a Qualifying Person

To be work related, your expenses must be to provide care

for a qualifying person.

You don't have to choose the least expensive way of

providing the care. The cost of a paid care provider may

be an expense for the care of a qualifying person even if

another care provider is available at no cost.

Publication 503 (2025)

Expenses are for the care of a qualifying person only if

their main purpose is the person's well-being and

protection.

Expenses for household services qualify if part of the

services is for the care of qualifying persons. See Household Services, later.

Expenses not for care. Expenses for care don't include

amounts you pay for food, lodging, clothing, education,

and entertainment. However, you can include small

amounts paid for these items if they are incidental to and

can't be separated from the cost of caring for the qualifying person. Otherwise, see the discussion under Expenses partly work related, later.

Child support payments aren't for care and don't qualify

for the credit.

Education. Expenses for a child in nursery school, preschool, or similar programs for children below the level of

kindergarten are expenses for care.

Expenses to attend kindergarten or a higher grade

aren't expenses for care. Don't use these expenses to figure your credit.

However, expenses for before- or after-school care of a

child in kindergarten or a higher grade may be expenses

for care.

Summer school and tutoring programs aren't for care.

Example 1. You send your 3-year-old child to a nursery school while you work. The nursery school provides

lunch and a few educational activities as part of its preschool childcare service. The lunch and educational activities are incidental to the childcare, and their cost can't be

separated from the cost of care. You can count the total

cost when you figure the credit.

Example 2. You are a member of the Armed Forces,

and you are ordered to a combat zone. To be able to comply with the order, you place your 10-year-old child in a

boarding school. Only the part of the boarding school expense that is for the care of your child is a work-related expense. You can count that part of the expense in figuring

your credit if it can be separated from the cost of education. You can't count any part of the amount you pay the

school for your child's education.

Care outside your home. You can count the cost of care

provided outside your home if the care is for your dependent under age 13 or any other qualifying person who regularly spends at least 8 hours each day in your home.

Dependent care center. You can count care provided

outside your home by a dependent care center only if the

center complies with all state and local regulations that

apply to these centers.

A dependent care center is a place that provides care

for more than six persons (other than persons who live

there) and receives a fee, payment, or grant for providing

services for any of those persons, even if the center isn't

run for profit.

Publication 503 (2025)

Camp. The cost of sending your child to an overnight

camp isn't considered a work-related expense.

The cost of sending your child to a day camp may be a

work-related expense, even if the camp specializes in a

particular activity, such as computers or soccer.

Example 1. You send your 9-year-old child to a summer day camp while you work. The camp offers computer

activities and recreational activities such as swimming and

arts and crafts. The full cost of the summer day camp may

be for care and the costs may be a work-related expense.

Example 2. You send your 10-year-old child to a math

tutoring program for 2 hours per day during the summer

while you work. The cost of the tutoring program isn't for

care and the costs are not considered work-related expenses.

Transportation. If a care provider takes a qualifying person to or from a place where care is provided, that transportation is for the care of the qualifying person. This includes transportation by bus, subway, taxi, or private car.

However, transportation not provided by a care provider

isn't for the care of a qualifying person. Also, if you pay the

transportation cost for the care provider to come to your

home, that expense isn't for care of a qualifying person.

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 qualifying person if care isn't provided.

Example 1. You paid a fee to an agency to get the

services of the nanny who cares for your 2-year-old

daughter while you work. The fee you paid is a work-related expense.

Example 2. You placed a deposit with a preschool to

reserve a place for your 3-year-old child. You later sent

your child to a different preschool and forfeited the deposit. The forfeited deposit isn't for care and therefore not

a work-related expense.

Household Services

Expenses you pay for household services meet the

work-related expense test if they are at least partly for the

well-being and protection of a qualifying person.

Definition. Household services are ordinary and usual

services done in and around your home that are necessary to run your home. They include, for example, the

services of a cook, maid, babysitter, housekeeper, or

cleaning person if the services were partly for the care of

the qualifying person. However, they don't include the

services of a chauffeur, bartender, or gardener.

Housekeeper. In this publication, the term “housekeeper” refers to any household employee whose services

include the care of a qualifying person.

Expenses partly work related. If part of an expense is

work related (for either household services or the care of a

qualifying person) and part is for other purposes, you have

to divide the expense. To figure your credit, count only the

part that is work related. However, you don't have to divide

the expense if only a small part is for other purposes.

What’s Your Filing Status?

Generally, married couples must file a joint return to take

the credit. However, if you are legally separated or living

apart from your spouse, you may be able to file a separate

return and still take the credit.

Example. You pay a housekeeper to care for your

9-year-old and 14-year-old children so you can work. The

housekeeper spends most of the time doing normal

household work and spends 30 minutes a day driving you

to and from work. You don't have to divide the expenses.

You can treat the entire expense of the housekeeper as

work related because the time spent driving is minimal.

Nor do you have to divide the expenses between the two

children, even though the expenses are partly for the

14-year-old child who isn't a qualifying person, because

the expense is also partly for the care of your 9-year-old

child, who is a qualifying person. However, the dollar limit

(discussed later) is based on one qualifying person, not

two.

Legally separated. You aren't considered married if you

are legally separated from your spouse under a decree of

divorce or separate maintenance. You may be eligible to

take the credit on your return using head of household filing status.

Meals and lodging provided for housekeeper. If you

have expenses for meals that your housekeeper eats in

your home because of their employment, count these as

work-related expenses. If you have extra expenses for providing lodging in your home to the housekeeper, count

these as work-related expenses also.

4. Your spouse doesn't live in your home for the last 6

months of the year.

Example. To provide lodging to the housekeeper, you

move to an apartment with an extra bedroom. You can

count the extra rent and utility expenses for the housekeeper's bedroom as work related. However, if your housekeeper moves into an existing bedroom in your home, you

can count only the extra utility expenses as work related.

Taxes paid on wages. The taxes you pay on wages for

qualifying child and dependent care services are work-related expenses. For more information on a household employer's tax responsibilities, see Do You Have Household

Employees, later.

Payments to Relatives or Dependents

You can count work-related payments you make to relatives who aren't your dependents, even if they live in your

home. However, don't count any amounts you pay to:

1. A person for whom you (or your spouse if filing jointly)

can claim as a dependent;

2. Your child (including stepchild or foster child) who was

under age 19 at the end of the year, even if they aren’t

your dependent;

3. A person who was your spouse any time during the

year; or

4. The parent of your qualifying person if your qualifying

person is your child and under age 13.

Married and living apart. You aren't considered married

and are eligible to take the credit if all the following apply.

1. You file a return apart from your spouse.

2. Your home is the home of a qualifying person for more

than half the year.

3. You pay more than half the cost of keeping up your

home for the year.

Example 1. Amy separated from her spouse in

March. She isn't separated under a decree of divorce or

separate maintenance agreement and uses the married

filing separate filing status. Amy maintains a home for herself and Sam, her disabled father. Sam is permanently

and totally disabled and unable to care for himself.

Because Sam earns $6,600 in interest income, Amy

can't claim him as a dependent (his gross income is

greater than $5,200). And, because Amy isn't able to

claim Sam as a dependent and she is still married as of

the end of the year, she can't use the head of household

filing status. Amy’s filing status is married filing separately

and Sam qualifies as a qualifying person for the child and

dependent care credit.

Because of the following facts, Amy is able to claim the

credit for child and dependent care expenses even though

Amy uses the married filing separately filing status.

• Amy didn't live with her spouse for the last 6 months of

the year.

• She has maintained a home for herself and Sam (a

qualifying person) since she separated from her

spouse in March.

• She maintains her own household and provides more

than half of the cost of maintaining that home for her

and Sam.

• Amy pays an adult daycare center to care for Sam to

allow her to work.

Example 2. Dean separated from his spouse in April.

He isn't separated under a decree of divorce or separate

maintenance agreement. He and his spouse haven't lived

together since April, and Dean maintains his own home

and provides more than half the cost of maintaining that

home for himself and his daughter, Nicole, who is permanently and totally disabled.

Publication 503 (2025)

Because Nicole is married and files a joint return with

her husband, who is away in the military, Dean can't claim

Nicole as a dependent and therefore can't use the head of

household filing status. Dean’s filing status is married filing

separately and Nicole qualifies as a qualifying person for

the child and dependent care credit.

Because of the following facts, Dean is able to claim the

credit for child and dependent care expenses even though

he uses the married filing separately filing status.

• Dean didn't live with his spouse for the last 6 months

of the year.

• He has maintained a home for himself and Nicole (a

qualifying person) since he separated from his spouse

in April.

• He maintains his own household and provides more

than half of the cost of maintaining that home for him

and Nicole.

• Dean pays a daycare provider to care for Nicole to allow him to work.

Costs of keeping up a home. The costs of keeping

up a home normally include property taxes, mortgage interest, rent, utility charges, home repairs, insurance on the

home, and food eaten at home.

The costs of keeping up a home don't include payments for clothing, education, medical treatment, vacations, life insurance, transportation, or mortgage principal.

They also don't include the purchase, permanent improvement, or replacement of property. For example, you

can't include the cost of replacing a water heater. However, you can include the cost of repairing a water heater.

Death of spouse. If your spouse died during the year

and you don't remarry before the end of the year, you must

generally file a joint return to take the credit. If you do remarry before the end of the year, the credit can be claimed

on your deceased spouse's own return.

Care Provider Identification Test

You must identify all persons or organizations that provide

care for your child or dependent. Use Form 2441, Part I, to

show the information.

If you don't have any care providers and you are filing

Form 2441 only to report taxable income in Part III, enter

“none” on line 1, column (a).

Information needed. To identify the care provider, you

must give the provider's:

1. Name,

2. Address, and

3. Taxpayer identification number.

If the care provider is an individual, the taxpayer identification number is their social security number or individual

taxpayer identification number. If the care provider is an

organization, then it is the employer identification number

(EIN).

Publication 503 (2025)

You don't have to show the taxpayer identification number if the care provider is a tax-exempt organization (such

as a church or school). In this case, enter “Tax-Exempt” in

the space where Form 2441 asks for the number.

If you can't provide all of the information or the information is incorrect, you must be able to show that you used

due diligence (discussed later) in trying to furnish the necessary information.

Getting the information. You can use Form W-10 to request the required information from the care provider. If

you don't use Form W-10, you can get the information

from one of the other sources listed in the instructions for

Form W-10, including:

1. A copy of the provider's social security card;

2. A copy of the provider's completed Form W-4, Employee's Withholding Certificate, if he or she is your

household employee;

3. A copy of the statement furnished by your employer if

the provider is your employer's dependent care plan;

4. A recently printed letterhead or invoice that shows the

provider's name, address, and TIN.

You should keep this information with your tax records. Don't send Form W-10 (or other document

RECORDS containing this information) to the IRS.

Due diligence. If the care provider information you give is

incorrect or incomplete, your credit may not be allowed.

However, if you can show that you used due diligence in

trying to supply the information, you can still claim the

credit.

You can show due diligence by getting and keeping the

provider's completed Form W-10 or one of the other sources of information just listed. Care providers can be penalized if they don't provide this information to you or if they

provide incorrect information.

Provider refusal. If the provider refuses to give you

the identifying information, you should report on Form

2441 whatever information you have (such as the name

and address). Enter “See Attached Statement” in the columns calling for the information you don't have. Then attach a statement explaining that you requested the information from the care provider, but the provider didn't give

you the information. Be sure to write your name and SSN

on this statement. The statement will show that you used

due diligence in trying to furnish the necessary information.

U.S. citizens and resident aliens living abroad. If you

are living abroad, your care provider may not have, and

may not be required to get, a U.S. taxpayer identification

number (for example, an SSN or an EIN). If so, enter

“LAFCP” (Living Abroad Foreign Care Provider) in the

space for the care provider's taxpayer identification number.

How To Figure the Credit

Your credit is a percentage of your work-related expenses.

Your expenses are subject to the earned income limit and

the dollar limit. The percentage is based on your adjusted

gross income.

Caution: Amounts excluded from your income under

your employer's dependent care benefits plan can't be

used to claim a medical expense deduction.

Dependent Care Benefits

Figuring Total Work-Related

Expenses

If you receive dependent care benefits, your dollar limit for

purposes of the credit may be reduced. See Reduced Dollar Limit, later. But, even if you can't take the credit, you

may be able to take an exclusion or deduction for the dependent care benefits.

To figure the credit for 2025 work-related expenses, count

only those you paid by December 31, 2025.

Dependent care benefits. Dependent care benefits include:

Expenses prepaid in an earlier year. If you pay for

services before they are provided, you can count the prepaid expenses only in the year the care is received. Claim

the expenses for the later year as if they were actually paid

in that later year.

2. The fair market value of care in a daycare facility provided or sponsored by your employer, and

Expenses not paid until the following year. Don't

count 2024 expenses that you paid in 2025 as work-related expenses for 2025. You may be able to claim an additional credit for them on your 2025 return, but you must figure it separately. See Payments for prior-year expenses

under Amount of Credit, later.

Tip: If you had expenses in 2025 that you didn't pay until

2026, you can't count them when figuring your 2025

credit. You may be able to claim a credit for them on your

2026 return.

Expenses reimbursed. If your employer reimburses

your employment-related expenses under a dependent

care assistance program, you can't count the expenses

that are reimbursed as work-related expenses.

If a state social services agency pays you a nontaxable

amount to reimburse you for some of your child and dependent care expenses, you can't count the expenses that

are reimbursed as work-related expenses.

Example. You paid work-related expenses of $3,000.

You are reimbursed $2,000 by a state social services

agency. You can use only $1,000 to figure your credit.

Medical expenses. Some expenses for the care of qualifying persons who aren't able to care for themselves may

qualify as work-related expenses and also as medical expenses. You can use them either way, but you can't use

the same expenses to claim both a credit and a medical

expense deduction.

If you use these expenses to figure the credit and they

are more than the earned income limit or the dollar limit,

discussed later, you can add the excess to your medical

expenses. However, if you use your total expenses to figure your medical expense deduction, you can't use any

part of them to figure your credit. For information on medical expenses, see Pub. 502, Medical and Dental Expenses.

1. Amounts your employer paid directly to either you or

your care provider for the care of your qualifying person while you work,

3. Pre-tax contributions you made under a dependent

care flexible spending arrangement.

Your salary may have been reduced to pay for these benefits. If you received dependent care benefits as an employee, they should be shown in box 10 of your Form W-2,

Wage and Tax Statement. See Statement for employee,

later. Benefits you received as a partner should be shown

in box 13 of your Schedule K-1 (Form 1065) with code O.

Enter the amount of these benefits on Form 2441, Part

III, line 12.

Exclusion or deduction. If your employer provides dependent care benefits under a qualified plan, you may be

able to exclude these benefits from your income. Your employer can tell you whether your benefit plan qualifies. To

claim the exclusion, you must complete Part III of Form

2441.

If you are self-employed and receive benefits from a

qualified dependent care benefit plan, you are treated as

both employer and employee. Therefore, you wouldn't get

an exclusion from wages. Instead, you would get a deduction on Schedule C (Form 1040), line 14; Schedule E

(Form 1040), line 19 or 28; or Schedule F (Form 1040),

line 15. To claim the deduction, you must use Form 2441.

The amount you can exclude or deduct is limited to the

smallest of:

1. The total amount of dependent care benefits you received during the year,

2. The total amount of qualified expenses you incurred

during the year,

3. Your earned income,

4. Your spouse's earned income, or

5. The maximum amount allowed under your dependent

care plan. For 2025, the maximum amount that can be

excluded from an employee's income through a dependent care assistance program is $5,000 ($2,500 if

married filing separately).

Publication 503 (2025)

The definition of earned income for the exclusion or deduction is the same as the definition used when figuring

the credit except that earned income for the exclusion or

deduction doesn't include any dependent care benefits

you receive.

Tip: You can elect to include your nontaxable combat

pay in earned income when figuring your exclusion or deduction, even if you elect not to include it in earned income for the earned income credit or the credit for child

and dependent care expenses.

Statement for employee. Your employer must give you a

Form W-2 (or similar statement), showing in box 10 the total amount of dependent care benefits provided to you

during the year under a qualified plan. Your employer will

also include in your wages shown in box 1 of your Form

W-2 any dependent care benefits that exceed the maximum amount of dependent care benefits allowed to be excluded. The maximum amount is $5,000 ($2,500 if married filing separately).

Effect of exclusion on credit. If you exclude dependent

care benefits from your income, the amount of the excluded benefits:

1. Isn't included in your work-related expenses; and

2. Reduces the dollar limit, discussed later.

Earned Income Limit

The amount of work-related expenses you use to figure

your credit can't be more than:

1. Your earned income for the year if you are single at

the end of the year, or

2. The smaller of your or your spouse's earned income

for the year if you are married at the end of the year.

Earned income for the purpose of figuring the credit is

defined under You Must Have Earned Income, earlier.

Tip: For purposes of item (2), use your spouse's earned

income for the entire year, even if you were married for

only part of the year.

Example. You remarried on December 3. Your earned

income for the year was $18,000. Your new spouse's

earned income for the year was $2,000. You paid work-related expenses of $3,000 for the care of your 5-year-old

child and qualified to claim the credit. The amount of expenses you use to figure your credit can't be more than

$2,000 (the smaller of your earned income or that of your

spouse).

Separated spouse. If you are legally separated or married and living apart from your spouse (as described under What’s Your Filing Status, earlier), you aren't considered married for purposes of the earned income limit. Use

only your income in figuring the earned income limit.

Surviving spouse. If your spouse died during the year

and you file a joint return as a surviving spouse, you may,

Publication 503 (2025)

but aren't required to, take into account the earned income

of your spouse who died during the year.

Community property laws. Disregard community property laws when you figure earned income for this credit.

Community property laws are explained in Pub. 555.

Self-employment earnings. If you are self-employed, include your net earnings in earned income. For purposes of

the child and dependent care credit, net earnings from

self-employment generally means the amount from

Schedule SE (Form 1040), line 3, minus any deduction for

self-employment tax on Schedule 1 (Form 1040), line 15.

Include your self-employment earnings in earned income,

even if they are less than $400 and you didn't file Schedule SE (Form 1040).

Clergy or church employee. If you are a member of

the clergy or a church employee, see the Instructions for

Form 2441 for details.

Statutory employee. If you filed Schedule C (Form

1040) to report income as a statutory employee, also include as earned income the amount from line 1 of that

Schedule C (Form 1040).

Net loss. You must reduce your earned income by any

net loss from self-employment.

Optional method if earnings are low or a net loss.

If your net earnings from self-employment are low or you

have a net loss, you may be able to figure your net earnings by using an optional method instead of the regular

method. See Pub. 334, Tax Guide for Small Business, for

details. If you use an optional method to figure net earnings for self-employment tax purposes, include those net

earnings in your earned income for this credit. In this case,

subtract any deduction you claimed on Schedule 1 (Form

1040), line 15, from the total of the amounts on Schedule SE (Form 1040), lines 3 and 4b, to figure your net

earnings.

You or your spouse is a student or not able to care

for self. Your spouse who is either a full-time student or

not able to care for themselves is treated as having

earned income. Their earned income for each month is

considered to be at least $250 if there is one qualifying

person in your home, or at least $500 if there are two or

more qualifying persons at any time during the year.

Spouse works. If your spouse works during that

month, use the higher of $250 (or $500) or their actual

earned income for that month.

Spouse qualifies for part of month. If your spouse is

a full-time student or not able to care for themselves for

only part of a month, the full $250 (or $500) still applies for

that month.

You are a student or not able to care for yourself.

These rules also apply if you are a student or not able to

care for yourself and are filing a joint return. For each

month or part of a month you are a student or not able to

care for yourself, your earned income is considered to be

at least $250 (or $500). If you also work during that month,

use the higher of $250 (or $500) or your actual earned income for that month.

Both spouses qualify. If, in the same month, both you

and your spouse are either full-time students or not able to

care for yourselves, only one spouse can be considered to

have this earned income of $250 (or $500) for that month.

Example 1. Jim works and keeps up a home for himself and his wife, Sharon. Because of an accident, Sharon

isn't able to care for herself for 11 months during the tax

year.

During the 11 months, Jim pays $3,300 of work-related

expenses for Sharon's care. These expenses also qualify

as medical expenses. Their adjusted gross income is

$29,000 and the entire amount is Jim's earned income.

Jim and Sharon's earned income limit is the smallest of

the following amounts.

Jim and Sharon's Earned Income Limit

1) Work-related expenses Jim paid . . . . . . . . . $

2) Jim's earned income . . . . . . . . . . . . . . . . . $

3) Income considered earned by Sharon

(11 × $250) . . . . . . . . . . . . . . . . . . . . . $

3,300

29,000

2,750

Jim and Sharon can use $2,750 to figure the credit and

treat the balance of $550 ($3,300 − $2,750) as a medical

expense. However, if they use the $3,300 first as a medical expense, they can't use any part of that amount to figure the credit.

Example 2. For all of the year, Karen is a full-time student and Mark, Karen's husband, is an individual who is

incapable of self-care. Karen and Mark have no earned income and pay expenses of $5,000 for Mark's care. Either

Karen or Mark may be deemed to have $3,000 of earned

income. However, earned income may be attributed to

only one spouse. Therefore, the lesser of Karen's and

Mark's earned income is zero. Karen and Mark may not

take the expenses into account and may not claim the

credit for the year.

Dollar Limit

There is a dollar limit on the amount of your work-related

expenses you can use to figure the credit. This limit is

$3,000 if you had one qualifying person, or $6,000 if you

had two or more qualifying persons.

Tip: The maximum amount of work-related expenses you

can take into account for purposes of the credit is $6,000 if

you have two or more qualifying persons even if you only

incurred expenses for just one of them. For example, if you

have two qualifying children, one age 3 and one age 11,

and you incur $6,000 of qualifying work-related expenses

for the 3-year-old, and no qualifying work-related expenses for the 11-year-old, you can use $6,000 to figure the

credit. In this situation, you should list $6,000 for the

3-year-old child and -0- for the 11-year-old child. The

$6,000 limit would be used to compute your credit unless

you have already excluded or deducted dependent care

benefits paid to you (or on your behalf) by your employer.

Yearly limit. The dollar limit is a yearly limit. The amount

of the dollar limit remains the same no matter how long,

during the year, you have a qualifying person in your

household. Use the $3,000 limit if you had one qualifying

person at any time during the year. Use $6,000 if you had

more than one qualifying person at any time during the

year.

Example 1. You pay $500 a month for after-school

care for your son. He turned 13 on May 1 and is no longer

a qualifying person. You can use the $2,000 of expenses

for his care January through April to figure your credit because it isn't more than the $3,000 yearly limit.

Example 2. In July of this year, to permit your spouse

to begin a new job, you enrolled your 3-year-old daughter

in a nursery school that provides preschool childcare. You

paid $400 per month for the childcare. You can use the full

$2,400 you paid ($400 × 6 months) as qualified expenses

because it isn't more than the $3,000 yearly limit.

Reduced Dollar Limit

If you received dependent care benefits that you exclude

or deduct from your income, you must subtract that

amount from the dollar limit that applies to you. Your reduced dollar limit is figured on Form 2441, Part III. See

Dependent Care Benefits, earlier, for information on excluding or deducting these benefits.

Example 1. George is a widower with one child and

earns $24,000 a year. He pays work-related expenses of

$2,900 for the care of his 4-year-old child and qualifies to

claim the credit for child and dependent care expenses.

His employer pays directly to his dependent care provider

an additional $1,000 under a qualified dependent care

benefit plan. This $1,000 is excluded from George's income.

Although the dollar limit for his work-related expenses

is $3,000 (one qualifying person), George figures his

credit on only $2,000 of the $2,900 work-related expenses

he paid. This is because his dollar limit is reduced as

shown next.

George's Reduced Dollar Limit

Maximum allowable expenses for one

qualifying person . . . . . . . . . . . . . . . . . . . . . .

Minus: Dependent care benefits George

excludes from income . . . . . . . . . . . . . . . . . . .

Reduced dollar limit on expenses George

can use for the credit . . . . . . . . . . . . . . . . . . .

$3,000

−1,000

$2,000

Example 2. Randall is married and both he and his

wife are employed. Each has earned income in excess of

$6,000. They have two children, Anne and Andy, ages 2

and 4, who attend a daycare facility licensed and regulated by the state. Randall's work-related expenses are

$6,000 for the year.

Randall's employer has a dependent care assistance

program as part of its cafeteria plan, which allows employees to make pre-tax contributions to a dependent care

flexible spending arrangement. Randall has elected to

Publication 503 (2025)

take the maximum $5,000 exclusion from his salary to

cover dependent care expenses through this program.

Although the dollar limit for his work-related expenses

is $6,000 (two or more qualifying persons), Randall figures

his credit on only $1,000 of the $6,000 work-related expense paid. This is because his dollar limit is reduced as

shown next.

Randall's Reduced Dollar Limit

1) Maximum allowable expenses for two

qualifying persons . . . . . . . . . . . . . . . . . . . . . .

2) Minus: Dependent care benefits selected

from employer's cafeteria plan and

excluded from Randall's income . . . . . . . . . . . . .

3) Reduced dollar limit on work-related expenses

Randall can use for the credit . . . . . . . . . . . . . . .

$6,000

−5,000

$1,000

Amount of Credit

To determine the amount of your credit, multiply your

work-related expenses (after applying the earned income

and dollar limits) by a percentage. This percentage depends on your adjusted gross income shown on Form

1040, 1040-SR, or 1040-NR, line 11a. The following table

shows the percentage to use based on adjusted gross income.

IF your adjusted gross income is:

THEN the

Over:

But not over:

percentage is:

15,000

17,000

19,000

21,000

23,000

25,000

27,000

29,000

31,000

33,000

35,000

37,000

39,000

41,000

43,000

—

$15,000

17,000

19,000

21,000

23,000

25,000

27,000

29,000

31,000

33,000

35,000

37,000

39,000

41,000

43,000

No limit

35%

34%

33%

32%

31%

30%

29%

28%

27%

26%

25%

24%

23%

22%

21%

20%

to figure your credit unless you already excluded or deducted, in Part III of Form 2441, certain dependent care

benefits paid to you (or on your behalf) by your employer.

Example. Roger and Megan Paris have two qualifying

children. Susan is 9 years old, and James is 15 years old

and is disabled. They received $1,000 of dependent care

benefits from Megan's employer during 2025, but they incurred a total of $19,500 of child and dependent care expenses. They complete Part III of Form 2441 to exclude

the $1,000 from their taxable income (offsetting $1,000 of

their expenses). Roger and Megan continue to line 27 to

figure their credit using the remaining $18,500 of expenses.

Line 30 tells them to complete line 2 without including

any dependent care benefits. They complete line 2 of

Form 2441, listing both Susan and James, as shown in the

Line 2 Example. They check the box in column (c) to indicate that James is disabled.

All of Susan's expenses were covered by the $1,000 of

employer-provided dependent care benefits. However,

their son James has special needs and they paid $18,500

for his care. Line 3 imposes a $5,000 limit for two or more

children ($6,000 limit minus $1,000 already excluded from

income = $5,000) and Roger and Megan continue to complete the form.

Even though line 2 indicates one of the Paris children

didn't have any dependent care expenses, it doesn't

change the fact that they had two qualifying children for

the purposes of Form 2441.

Payments for prior-year expenses. If you had work-related expenses in 2024 that you paid in 2025 and you

didn't claim a credit on the maximum amount of qualified

expenses for 2024, you may be able to increase the

amount of the credit you can take in 2025. To figure the

credit, complete Worksheet A in the Instructions for Form

2441. Enter the amount of the credit on Form 2441,

line 9b.

How To Claim the Credit

To qualify for the credit, you must have one or more

qualifying persons. You should show the expenses for

each person on Form 2441, line 2, column (d). It is possible a qualifying person could have no expenses and a

second qualifying person could have expenses exceeding

$3,000. You should list -0- for the one person and the actual amount for the second person. The $6,000 limit that

applies to two or more qualifying persons would be used

To claim the credit, you can file Form 1040, 1040-SR, or

1040-NR. You must complete Form 2441 and attach it to

your Form 1040, 1040-SR, or 1040-NR. Enter the credit

on your Schedule 3 (Form 1040), line 2. The amount of

credit you can claim is limited to your tax. You can't get a

refund for any part of the credit that is more than this limit.

For more information, see the Instructions for Form 2441.

Line 2 Example

(a) Qualifying person's name

(b) Qualifying person's

social security number

qualifying person was

over age 12 and was

disabled. (see

instructions)

(d) Qualified expenses

you incurred and paid in

2025 for the person listed

in column (a)

First

Last

Susan

Paris

123-00-6789

[ ]

-0-

James

Paris

987-00-4321

[X]

18,500

Publication 503 (2025)

Recordkeeping. You should keep records of your

work-related expenses and any dependent care

RECORDS benefits you received. Also, if your dependent or

spouse isn't able to care for themselves, your records

should show both the nature and length of the disability.

Other records you should keep to support your claim for

the credit are described under Care Provider Identification

Test, earlier.

State employment tax. You may also have to pay state

unemployment tax for your household employee. Contact

your state unemployment tax office for information. You

should also find out whether you need to pay or collect

other state employment taxes or carry workers compensation insurance. For a list of state unemployment tax agencies, visit the U.S. Department of Labor's website at

oui.doleta.gov/unemploy/agencies.asp.

Do You Have Household

Employees?

How To Get Tax Help

If you pay someone to come to your home and care for

your dependent or spouse and you can control not only

what work is done, but how it is done, that person is probably a household employee and you may need to file

Schedule H (Form 1040), with your tax return and pay

household employment taxes. If you are a household employer, you will need an EIN. If the individuals who work in

your home are self-employed, you aren't liable for any of

the taxes discussed in this section. Self-employed persons who are in business for themselves aren't household

employees. Usually, you aren't a household employer if

the person who cares for your dependent or spouse does

so at their home or place of business. For example, nannies are generally household employees, while daycare

centers are not.

If you use a placement agency that exercises control

over what work is done and how it will be done by a babysitter or companion who works in your home, the worker

isn't your employee. This control could include providing

rules of conduct and appearance and requiring regular reports. In this case, you don't have to pay employment

taxes. But if an agency merely gives you a list of sitters

and you hire one from that list and pay the sitter directly,

the sitter may be your employee.

to:

If you have a household employee, you may be subject

1. Social security and Medicare taxes,

2. Federal unemployment tax, and

3. Federal income tax withholding.

Social security and Medicare taxes are generally withheld

from the employee's pay and matched by the employer.

Federal unemployment (FUTA) tax is paid by the employer

only and provides for payments of unemployment compensation to workers who have lost their jobs. Federal income tax is withheld from the employee's total pay if the

employee asks you to do so and you agree.

For more information on a household employer's tax responsibilities, see Pub. 926 and Schedule H (Form 1040)

and its instructions.

Tip: You must check either the “Yes” or “No” box on Form

2441, line 1, column (d) to indicate whether or not your

care provider was your household employee during the

year.

If you have questions about a tax issue; need help preparing your tax return; or want to download free publications,

forms, or instructions, go to IRS.gov to find resources that

can help you right away.

Tax reform. Tax reform legislation impacting federal

taxes, credits, and deductions was enacted in P.L. 119-21,

commonly known as the One Big Beautiful Bill Act, on July

4, 2025. Go to IRS.gov/OBBB for more information and

updates on how this legislation affects your taxes.

Preparing and filing your tax return. After receiving all

your wage and earnings statements (Forms W-2, W-2G,

1099-R, 1099-MISC, 1099-NEC, etc.); unemployment

compensation statements (by mail or in a digital format) or

other government payment statements (Form 1099-G);

and interest, dividend, and retirement statements from

banks and investment firms (Forms 1099), you have several options to choose from to prepare and file your tax return. You can prepare the tax return yourself, see if you

qualify for free tax preparation, or hire a tax professional to

prepare your return.

Free options for tax preparation. Your options for preparing and filing your return online or in your local community, if you qualify, include the following.

• Free File. This program lets you prepare and file your

federal individual income tax return for free using software or Free File Fillable Forms. However, state tax

preparation may not be available through Free File. Go

to IRS.gov/FreeFile to see if you qualify for free online

federal tax preparation, e-filing, and direct deposit or

payment options.

• VITA. The Volunteer Income Tax Assistance (VITA)

program offers free tax help to people with

low-to-moderate incomes, persons with disabilities,

and limited-English-speaking taxpayers who need

help preparing their own tax returns. Go to IRS.gov/

VITA, download the free IRS2Go app, or call

800-906-9887 for information on free tax return preparation.

• TCE. The Tax Counseling for the Elderly (TCE) pro-

gram offers free tax help for all taxpayers, particularly

those who are 60 years of age and older. TCE volunteers specialize in answering questions about pensions and retirement-related issues unique to seniors.

Go to IRS.gov/TCE or download the free IRS2Go app

for information on free tax return preparation.

Publication 503 (2025)

• MilTax. Members of the U.S. Armed Forces and quali-

fied veterans may use MilTax, a free tax service offered by the Department of Defense through Military

OneSource. For more information, go to

MilitaryOneSource (MilitaryOneSource.mil/MilTax).

Also, the IRS offers Free Fillable Forms, which can

be completed online and then e-filed regardless of income.

Using online tools to help prepare your return. Go to

IRS.gov/Tools for the following.

• The Earned Income Tax Credit Assistant (IRS.gov/

EITCAssistant) determines if you’re eligible for the

earned income credit (EITC).

• The Online EIN Application (IRS.gov/EIN) helps you

get an employer identification number (EIN) at no

cost.

• The Tax Withholding Estimator (IRS.gov/W4App)

makes it easier for you to estimate the federal income

tax you want your employer to withhold from your paycheck. This is tax withholding. See how your withholding affects your refund, take-home pay, or tax due.

• The Sales Tax Deduction Calculator (IRS.gov/

SalesTax) figures the amount you can claim if you

itemize deductions on Schedule A (Form 1040).

Getting answers to your tax questions. On

IRS.gov, you can get up-to-date information on

current events and changes in tax law.

• IRS.gov/Help: A variety of tools to help you get answers to some of the most common tax questions.

• IRS.gov/ITA: The Interactive Tax Assistant, a tool that

will ask you questions and, based on your input, provide answers on a number of tax topics.

• IRS.gov/Forms: Find forms, instructions, and publica-

tions. You will find details on the most recent tax

changes and interactive links to help you find answers

to your questions.

• You may also be able to access tax information in your

e-filing software.

Need someone to prepare your tax return? There are

various types of tax return preparers, including enrolled

agents, certified public accountants (CPAs), accountants,

and many others who don’t have professional credentials.

If you choose to have someone prepare your tax return,

choose that preparer wisely. A paid tax preparer is:

• Primarily responsible for the overall substantive accuracy of your return,

• Required to sign the return, and

• Required to include their preparer tax identification

number (PTIN).

Although the tax preparer always signs the return,

you’re ultimately responsible for providing all the

CAUTION information required for the preparer to accurately

prepare your return and for the accuracy of every item

reported on the return. Anyone paid to prepare tax returns

Publication 503 (2025)

for others should have a thorough understanding of tax

matters. For more information on how to choose a tax preparer, go to Tips for Choosing a Tax Preparer on IRS.gov.

Employers can register to use Business Services Online. The Social Security Administration (SSA) offers online service at SSA.gov/employer for fast, free, and secure

W-2 filing options to CPAs, accountants, enrolled agents,

and individuals who process Form W-2, Wage and Tax

Statement; and Form W-2c, Corrected Wage and Tax

Statement.

Business tax account. If you are a sole proprietor, a

partnership, an S corporation, a C corporation, or a single-member limited liability company (LLC), you can view

your tax information on record with the IRS and do more

with a business tax account. Go to IRS.gov/

BusinessAccount for more information.

IRS social media. Go to IRS.gov/SocialMedia to see the

various social media tools the IRS uses to share the latest

information on tax changes, scam alerts, initiatives, products, and services. At the IRS, privacy and security are our

highest priority. We use these tools to share public information with you. Don’t post your social security number

(SSN) or other confidential information on social media

sites. Always protect your identity when using any social

networking site.

The following IRS YouTube channels provide short, informative videos on various tax-related topics in English,

Spanish, and ASL.

• Youtube.com/irsvideos.

• Youtube.com/irsvideosmultilingua.

• Youtube.com/irsvideosASL.

Online tax information in other languages. You can

find information on IRS.gov/MyLanguage if English isn’t

your native language.

Over-the-Phone Interpreter (OPI) Service. The IRS offers the OPI Service to taxpayers needing language interpretation. The OPI Service is available at Taxpayer Assistance Centers (TACs), most IRS offices, and every

VITA/TCE tax return site. This service is available in Spanish, Mandarin, Cantonese, Korean, Vietnamese, Russian,

and Haitian Creole.

Accessibility Helpline available for taxpayers with

disabilities. Taxpayers who need information about accessibility services can call 833-690-0598. The Accessibility Helpline can answer questions related to current and

future accessibility products and services available in alternative media formats (for example, braille-ready, large

print, audio, etc.). The Accessibility Helpline does not

have access to your IRS account. For help with tax law, refunds, or account-related issues, go to IRS.gov/

LetUsHelp.

Alternative media preference. Form 9000, Alternative

Media Preference, or Form 9000(SP) allows you to elect to

receive certain types of written correspondence in the following formats.

• Standard Print.

• Large Print.

• Braille.

• Audio (MP3).

• Plain Text File (TXT).

• Braille-Ready File (BRF).

Disasters. Go to IRS.gov/DisasterRelief to review the

available disaster tax relief.

Getting tax forms and publications. Go to IRS.gov/

Forms to view, download, or print all the forms, instructions, and publications you may need. Or you can go to

IRS.gov/OrderForms to place an order.

Mobile-friendly forms. You’ll need an IRS Online Account (OLA) to complete mobile-friendly forms that require

signatures. You’ll have the option to submit your form(s)

online or download a copy for mailing. You’ll need scans of

your documents to support your submission. Go to

IRS.gov/MobileFriendlyForms for more information.

Getting tax publications and instructions in eBook

format. Download and view most tax publications and instructions (including the Instructions for Form 1040) on

mobile devices as eBooks at IRS.gov/eBooks.

IRS eBooks have been tested using Apple’s iBooks for

iPad. Our eBooks haven’t been tested on other dedicated

eBook readers, and eBook functionality may not operate

as intended.

Access your online account (individual taxpayers

only). Go to IRS.gov/Account to securely access information about your federal tax account.

• View the amount you owe and a breakdown by tax

year.

• See payment plan details or apply for a new payment

plan.

• Make a payment or view 5 years of payment history

and any pending or scheduled payments.

• Access your tax records, including key data from your

most recent tax return, and transcripts.

• View digital copies of select notices from the IRS.

• Approve or reject authorization requests from tax professionals.

Get a transcript of your return. With an online account,

you can access a variety of information to help you during

the filing season. You can get a transcript, review your

most recently filed tax return, and get your adjusted gross

income. Create or access your online account at IRS.gov/

Account.

Tax Pro Account. This tool lets your tax professional

submit an authorization request to access your individual

taxpayer IRS OLA. For more information, go to IRS.gov/

TaxProAccount.

Using direct deposit. The safest and easiest way to receive a tax refund is to e-file and choose direct deposit,

which securely and electronically transfers your refund directly into your financial account. Direct deposit also

avoids the possibility that your check could be lost, stolen,

destroyed, or returned undeliverable to the IRS. Eight in

10 taxpayers use direct deposit to receive their refunds. If

you don’t have a bank account, go to IRS.gov/

DirectDeposit for more information on where to find a bank

or credit union that can open an account online.

Reporting and resolving your tax-related identity

theft issues.

• Tax-related identity theft happens when someone

steals your personal information to commit tax fraud.

Your taxes can be affected if your SSN is used to file a

fraudulent return or to claim a refund or credit.

• The IRS doesn’t initiate contact with taxpayers by

email, text messages (including shortened links), telephone calls, or social media channels to request or

verify personal or financial information. This includes

requests for personal identification numbers (PINs),

passwords, or similar information for credit cards,

banks, or other financial accounts.

• Go to IRS.gov/IdentityTheft, the IRS Identity Theft

Central webpage, for information on identity theft and

data security protection for taxpayers, tax professionals, and businesses. If your SSN has been lost or

stolen or you suspect you’re a victim of tax-related

identity theft, you can learn what steps you should

take.

• Get an Identity Protection PIN (IP PIN). IP PINs are

six-digit numbers assigned to taxpayers to help prevent the misuse of their SSNs on fraudulent federal income tax returns. When you have an IP PIN, it prevents someone else from filing a tax return with your

SSN. To learn more, go to IRS.gov/IPPIN.

Ways to check on the status of your refund.

• Go to IRS.gov/Refunds.

• Download the official IRS2Go app to your mobile device to check your refund status.

• Call the automated refund hotline at 800-829-1954.

The IRS can’t issue refunds before mid-February

for returns that claimed the EITC or the additional

CAUTION child tax credit (ACTC). This applies to the entire

refund, not just the portion associated with these credits.

Making a tax payment. The IRS recommends paying

electronically whenever possible. Options to pay electronically are included in the list below. Payments of U.S. tax

must be remitted to the IRS in U.S. dollars. Digital assets

are not accepted. Go to IRS.gov/Payments for information

Publication 503 (2025)

on how to make a payment using any of the following options.

• IRS Direct Pay: Pay taxes from your bank account. It’s

free and secure, and no sign-in is required. You can

change or cancel within 2 days of scheduled payment.

• Debit Card, Credit Card, or Digital Wallet: Choose an

approved payment processor to pay online or by

phone.

• Electronic Funds Withdrawal: Schedule a payment

when filing your federal taxes using tax return preparation software or through a tax professional.

Schedule LEP. You can use Schedule LEP (Form 1040),

Request for Change in Language Preference, to state a

preference to receive notices, letters, or other written communications from the IRS in an alternative language. You

may not immediately receive written communications in

the requested language. The IRS’s commitment to LEP

taxpayers is part of a multi-year timeline that began providing translations in 2023. You will continue to receive

communications, including notices and letters, in English

until they are translated to your preferred language.

wire from your financial institution. Contact your financial institution for availability, cost, and time frames.

Contacting your local TAC. Keep in mind, many questions can be answered on IRS.gov without visiting a TAC.

Go to IRS.gov/LetUsHelp for the topics people ask about

most. If you still need help, TACs provide tax help when a

tax issue can’t be handled online or by phone. All TACs

now provide service by appointment, so you’ll know in advance that you can get the service you need without long

wait times. Before you visit, go to IRS.gov/TAC to find the

nearest TAC and to check hours, available services, and

appointment options. Or, on the IRS2Go app, under the

Stay Connected tab, choose the Contact Us option and

click on “Local Offices.”

Note: The IRS uses the latest encryption technology to

ensure that the electronic payments you make online, by

phone, or from a mobile device using the IRS2Go app are

safe and secure. Paying electronically is quick and easy.

Below is a message to you from the Taxpayer Advocate

Service, an independent organization established by Congress.

What if I can’t pay now? Go to IRS.gov/Payments for

more information about your options.

The Taxpayer Advocate Service (TAS)

Is Here To Help You

• Electronic Federal Tax Payment System: This is the

best option for businesses. Enrollment is required.

• Check or Money Order: Mail your payment to the address listed on the notice or instructions.

• Cash: You may be able to pay your taxes with cash at

a participating retail store.

• Same-Day Wire: You may be able to do same-day

• Apply for an online payment agreement (IRS.gov/

OPA) to meet your tax obligation in monthly installments if you can’t pay your taxes in full today. Once

you complete the online process, you will receive immediate notification of whether your agreement has

been approved.

————————————————————————

What Is the Taxpayer Advocate Service?

• Use the Offer in Compromise Pre-Qualifier to see if

The Taxpayer Advocate Service (TAS) is an independent

organization within the Internal Revenue Service (IRS).

TAS helps taxpayers resolve problems with the IRS,

makes administrative and legislative recommendations to

prevent or correct the problems, and protects taxpayer

rights. We work to ensure that every taxpayer is treated

fairly and that you know and understand your rights under

the Taxpayer Bill of Rights. We are Your Voice at the IRS.

Filing an amended return. Go to IRS.gov/1040X for information and updates.

How Can TAS Help Me?

Checking the status of your amended return. Go to

IRS.gov/WMAR to track the status of Form 1040-X amended returns.

TAS can help you resolve problems that you haven’t been

able to resolve with the IRS on your own. Always try to resolve your problem with the IRS first, but if you can’t, then

come to TAS. Our services are free.

you can settle your tax debt for less than the full

amount you owe. For more information on the Offer in

Compromise program, go to IRS.gov/OIC.

It can take up to 3 weeks from the date you filed

your amended return for it to show up in our sysCAUTION tem, and processing it can take up to 16 weeks.

Understanding an IRS notice or letter you’ve received. Go to IRS.gov/Notices to find additional information about responding to an IRS notice or letter.

IRS Document Upload Tool. You may be able to use

the Document Upload Tool to respond digitally to eligible

IRS notices and letters by securely uploading required

documents online through IRS.gov. For more information,

go to IRS.gov/DUT.

Publication 503 (2025)

• TAS helps all taxpayers (and their representatives), including individuals, businesses, and exempt organizations. You may be eligible for TAS help if your IRS

problem is causing financial difficulty, if you’ve tried

and been unable to resolve your issue with the IRS, or

if you believe an IRS system, process, or procedure

just isn’t working as it should.

• To get help any time with general tax topics, visit

www.TaxpayerAdvocate.IRS.gov. The site can help

you with common tax issues and situations, such as

what to do if you make a mistake on your return or if

you get a notice from the IRS.

• TAS works to resolve large-scale (systemic) problems

that affect many taxpayers. You can report systemic issues at www.IRS.gov/SAMS. (Be sure not to include

any personal identifiable information.)

How Do I Contact TAS?

TAS has offices in every state, the District of Columbia,

and Puerto Rico. To find your local advocate’s number:

• Go to www.TaxpayerAdvocate.IRS.gov/Contact-Us,

• Check your local directory, or

• Call TAS toll free at 877-777-4778.

What Are My Rights as a Taxpayer?

The Taxpayer Bill of Rights describes ten basic rights that

all taxpayers have when dealing with the IRS. Go to

www.TaxpayerAdvocate.IRS.gov/Taxpayer-Rights

for

more information about the rights, what they mean to you,

and how they apply to specific situations you may encounter with the IRS. TAS strives to protect taxpayer rights and

ensure the IRS is administering the tax law in a fair and

equitable way.

Publication 503 (2025)

Index

To help us develop a more useful index, please let us know if you have ideas for index entries.

See “Comments and Suggestions” in the “Introduction” for the ways you can reach us.

Adoption:

Taxpayer identification number 3

Aliens 3

Amount of credit 13

Are These Work-Related

Expenses? 6-8

Partly work-related expenses 8

Assistance (See Tax help)

Calculation of credit 10

Camp:

Day 7

Overnight 7

Care:

Dependent care benefits 2, 10

Employer-provided benefits 10

Outside home 7

Provider identification 9

Qualifying person 6

Care Provider Identification Test 2,

Children:

Divorced or separated parents 3

Physically or mentally disabled 3

Under age 13 3

Work-related expense payments to

relatives 8

Church employee 11

Claiming of credit 13, 14

Tests to claim credit 2

Clergy 11

Community property 11

Death of spouse 9

Dependent care benefits 2, 10

Dependent care centers 7

Dependent defined 3

Dependents (See Who Is a Qualifying

Person?)

Deposits 7

Disabilities, persons with:

Dependents 3

Physically or mentally not able to

care for self 3

Spouse 3, 4, 6, 11

Divorced parents 3

Dollar limit 12

Reduced dollar limit 2, 12

Domestic help 7

Due diligence 9

Earned income:

Dependent care benefits 10

Publication 503 (2025)

For figuring credit 4

Limit on 11

Net loss 11

Nonworking spouse 4

Self-employment earnings 11

Statutory employees 11

What is not 4

Earned income test 4

Determination 2

Education expenses 7

Employer-provided dependent care

benefits 2, 10

Employment taxes 1, 8, 14

Exclusion from income:

Employer-provided dependent care

benefits 2, 10

Expenses 10

(See also Work-related expenses)

Education 7

Medical 10

Not for care 7

Prepaid 10

Reimbursed 10

Fees 7

Figures 2

Figuring credit 10

Earned income 4

Filing status:

Tests to claim credit 2

What’s Your Filing Status? 8

Form 1040, 1040-SR, or 1040-NR:

Claiming the credit 2

Form 4029 4

Form 4361 4

Form 4547 1

Form W-10 9

Form W-2:

Dependent care benefits 11

Form W-7 3

Household services 7, 8

Employment taxes 14

Housekeepers 7

Identification of provider 9

Individual taxpayer identification

numbers (ITINs):

For aliens 3

Inmate 4

Limits:

Dollar 12

Earned income 11

Reduced dollar 2, 12

Looking for work 6

Losses 11

Married and living apart 8

Meals and lodging for

housekeeper 8

Medical expenses 10

Minister 11

Missing children, photographs of 1

Not able to care for self:

Qualifying person test 3

Spouse 3, 4, 6, 11

Outside of home care 7

Part of year:

Persons qualifying for 3

Work or looking for work 6

Part-time work 6

Prepaid expenses 10

Prisoner 4

Publications (See Tax help)

Qualifying child 3

Qualifying person:

Care for 6

Expenses not for care 7

Recordkeeping requirements 14

Reduced dollar limit 12

Tests to claim credit 2

Refusal by provider to give

information 9

Reimbursed expenses 10

Relatives, payments to 2, 8

Religious faiths opposed to social

security programs 4

School expenses 7

Self-employed persons 11

Separated parents 3, 8

Separated spouse 11

Sick days 6

Social security 14

(See also Employment taxes)

Religious faiths opposed to 4

Social security numbers (SSNs) 9

Spouse:

Both spouses qualifying 12

Death of 9

Nonworking, earned income 4

Not able to care for self 3, 4, 6, 11

Qualifying person 3

Separated 11

Student 4, 11

Surviving 11

Working 11

Students:

Full-time 4

Spouse 4, 11

Tax help 14

Taxes on wages (See Employment

taxes)

Taxpayer identification numbers

(TINs) 1, 3

Adoption 3

Aliens 3

Providers 9

Temporary absence 6

Tests to claim credit 2, 10

Determination 2

Earned income 4

Qualifying persons 3

Work-related expenses 6

Transportation 7

Trump account 1

Unearned income 4

Vacation 6

Volunteer work 6

Wages, taxes on (See Employment

taxes)

What’s Your Filing Status? 8, 9

Tests to claim credit 2

Who Is a qualifying person? 3

Tests to claim credit 2

Withholding:

Federal income tax 14

Work-related expense test:

Tests to claim credit 2

Work-related expenses:

Earned income limit 11

Figuring of credit 10

Medical 10

Paid following year 10, 13

Partly work-related expenses 8

Prepaid 10

Recordkeeping 14

Reimbursed 10

You Must Have Earned Income 4

Publication 503 (2025)

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.