1. Audrey is a stay-at-home mom. Her husband worked and had earned income for the tax year. They
have a young son with autism who must be supervised at all times. Audrey volunteers at a local autism
information hotline 12 hours a week. She and her husband pay a caregiver to stay with their son during
those hours. Do they qualify for the child and dependent care credit?
2. Jim paid someone to care for his wife, Janet, so that he could work. Janet is physically unable to care
for herself. Jim also paid to have someone prepare meals for his 12-year-old daughter, Jill. Is Janet a
qualifying person for the credit? Is Jill a qualifying person for the credit?
3. Both spouses must have earned income to claim the child and dependent care credit.
A. True
B. False
4. The child and dependent care tax credit applies only to taxpayers with dependents under the age of 13.
A. True
B. False
5. The Child and Dependent Care Credit is a nonrefundable credit, which means the credit may _____.
A. Be enough to entitle the taxpayer to a tax refund
B. Reduce the tax liability to zero but does not result in a tax refund
6. The dollar amount of the child and dependent care credit equals the taxpayer's qualifying expenses.
A. True
B. False