Dependent Care Flexible Spending Account

GLC

Can the time a child is in summer camp be used to claim pre-tax dollars from an employee's Dependent Care Flexible Spending Account or is it for daycare only? This is in Kentucky.

Brad Forrister

The instructions for IRS form 2441 say the Child and Dependent Care Expenses Credit is not available for overnight camp expenses. The Dependent Care Flexible Spending Accounts are generally subject to the same restrictions. Might be different for a summer day camp, although it might still have to meet the test for a "dependent care center" - which must comply with all applicable state regulations.

Brad Forrister
Director of Publishing
M. Lee Smith Publishers

Down_the_Middle

GLC:
I don't believe the IRS permits any type of "summer camp" expenses unless the time is an actual extension of classroom instruction where an educational focus is given. In the absence of that, summer camp is merely a fun time for children that provides the custodial care for them that parents require.

AnnV

In accordance with IRS rules, our Dependent Care FSA allows reimbursement for the cost of sending a child to summer day camp if the camp provides no significant educational services and is not an overnight camp.

Carol CA

My kids attend YMCA camp daily every summer and our Dependent Care account covers this. They are ages 10, 8 and 6 and so are too old for "day care" programs and they have to go somewhere during the summer so I can come to work. That is the whole intent of Dependent Care accounts - to provide a safe place for the children to be while outside of school in order to enable the parents to work. If that is the type of camp you are talking about, I would say it is covered.