Yes, a caregiver can claim disability-related tax benefits and caregiver credits together. A caregiver can add the Credit for Other Dependents to the care credit and Earned Income Credit when each test is met.
The IRS describes this combined eligibility in its tax tip on credit eligibility. The Credit for Other Dependents means a $500 nonrefundable credit for a dependent who cannot receive the Child Tax Credit. The IRS explains this credit has no age limit when dependency tests are met in its guide to the Credit for Other Dependents.
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Table of Contents
- What does the care credit cover?
- Who can count as your dependent?
- What must you show to claim care costs?
- What limits and checks apply?
What does the care credit cover?
The Child and Dependent Care Credit helps pay for care so you can work. A disabled spouse or dependent of any age can qualify if the person cannot self-care and lived with you over half the year. The IRS defines this qualifying person in its Child and Dependent Care Credit information.
Medicaid waiver payments can also help at home. The IRS says certain payments for caring for an eligible person in your household may be excluded as difficulty-of-care payments. Ask whether your state waiver and living arrangement fit that rule.
Who can count as your dependent?
To claim an adult parent or relative, you generally must provide over half the support. The relative's gross income must also stay below the Publication 501 limit, $5,050 for 2024. IRS caregiver guidance sets both tests.
A child who is permanently and totally disabled can still be a qualifying child at any age. IRS tax tutorials note the under-19 and under-24 student age limits do not apply. This rule helps families caring long-term for an adult child.
What must you show to claim care costs?
You must have earned income from work. You must pay work-related care costs to another provider, not yourself.
Congressional Research Service summaries of the credit list these work and payment tests. You must report the provider's name, address and TIN. You must file Form 2441, and expense caps apply.
What limits and checks apply?
The same person cannot receive both the Child Tax Credit and the Credit for Other Dependents. IRS tax guidance also sets income phaseouts above $200,000, or $400,000 for joint filers. Check income before you count on the $500 amount.
Use this quick check before you file. Each line tracks a separate test. Keep provider statements, support records and waiver letters together for your return. File Form 2441 with provider details when you claim care costs.
- Support and income: did you provide over half the support and is income below the limit
- Home and care need: did the disabled person live with you over half the year and need self-care help
- Work and provider: do you have earned income, paid care to another provider, plus name, address, TIN and Form 2441
- One credit per person: are you choosing either Child Tax Credit or Credit for Other Dependents
