How to Complete Form 2441?

Which form to use for child and dependent care credits?

The IRS form 2441, Child and Dependent Care Expenses, is used to report all the required information about the child care credit and to figure out the amount of the credit. The child and dependent care tax credit is then entered on the form 1040 line 48.

In Part I of Form 2441, you must identify all persons or organizations that provided care for your child or dependent.

Enter the name, address and taxpayer identification number (TIN) for each care provider. For an individual, the TIN is the social security number. For an organization, it is the employer identification number (EIN).

If the care provider is a tax exempt organization such as a church or school, write "Tax-Exempt" in the space where the form asks for the TIN. If you do not enter the care provider information, you will not be allowed to take the child care credit.

If the information you provide is incomplete or incorrect, the IRS may disallow the child care credit unless you show you used due diligence in trying to supply the information.

How to show due diligence?

You can show due diligence by getting and keeping the provider's completed Form W-10 or one of the other sources of information listed earlier.

Care providers can be penalized if they do not provide this information to you or if they provide incorrect information.

What if the care provider refuses to give me the information?

If the care provider refuses to give you the identifying information you should report whatever information you have (such as the name and address) on the form you use to claim the child care credit. Enter "See Page 2" in the columns calling for the information you do not have. On the bottom of page 2, explain that you requested the information from the care provider, but the provider did not give you the information. This statement will show that you used due diligence in trying to furnish the necessary information.