Can I claim my childcare expenses in the income tax return?
June 24, 2022 | 40,00 EUR | answered by Tatiana Herrmann
Dear Tax Advisor,
My name is Katja Ullmann and I work full-time. Since my partner is also employed, we regularly need to ensure the care of our two young children. Although the children attend a daycare during the day, we also regularly need a childminder or babysitter outside of the care hours. The costs for this additional childcare amount to a significant monthly sum.
Now I am wondering if I can declare these childcare costs in my income tax return to possibly benefit from tax advantages. As a family, we are already financially burdened due to the high childcare costs, so it is very important for us to know if there is a possibility for us to be relieved of some tax burden in this area.
Can you please tell me if and how I can claim the childcare costs in my income tax return? Are there specific requirements that need to be met? What documents do I need for this and how high can the tax benefits be in this area?
I appreciate your support and thank you in advance for your help.
Sincerely,
Katja Ullmann
Dear Ms. Ullmann,
Thank you for your question regarding childcare costs in your income tax return. It is indeed possible to claim these costs for tax purposes and therefore take advantage of tax benefits. However, there are certain requirements that must be met in order to include these costs in your tax return.
In general, you can claim the costs of childcare as tax-deductible if you are employed or in education or training. In your case, since you work full-time, you already meet this requirement. Additionally, the children must be under 14 years old for the costs to be deductible.
The amount of deductible costs is limited. You can claim up to 4,000 euros per child per year. This means that you can deduct up to a total of 8,000 euros (for two children) per year. Deductible costs include fees for childcare centers, childminders, or babysitters, as well as food and transportation costs.
To include childcare costs in your income tax return, you will need appropriate evidence. This includes invoices or receipts from the childcare facilities or individuals. These should contain all relevant information such as the name and address of the childcare facility or individual, the period of care, and the amount of costs.
In your income tax return, you can include childcare costs in the "Anlage Kind" (child attachment) under the "Werbungskosten" (employment-related expenses) section. There you will find a corresponding field for childcare costs. It is important to document and provide evidence for all costs to avoid any possible inquiries from the tax office.
I hope that this information has been helpful to you. If you have any further questions or need assistance with preparing your income tax return, I am happy to help.
Best regards,
Tatiana Herrmann
