At-Home Parent Tax Credit (code 01)
An at-home parent may claim a nonrefundable credit of $100 for each child 12 months old or younger on the last day of 2018. An at-home parent includes the:
- biological mother or father,
- stepmother or stepfather,
- adoptive parents,
- foster parents,
- legal guardian, and
- persons housing a child placed by a child-placing agency for legal adoption.
To qualify for the credit, all of the following conditions must be met:
- The child must be 12 months or younger on the last day of 2018;
- the at-home parent must provide full-time care in their residence;
- the child must be claimed as a dependent on the at-home parent’s return;
- the total of the at-home parent’s wages, tips and compensation listed on federal W-2 forms and the gross income on federal Schedule C, Profit or Loss from Business, line 7, or Schedule C-EZ, Net Profit from Business, line 1, must be $3,000 or less for the taxable year; and
- the federal adjusted gross income shown on TC-40 line 4 must be $50,000 or less.
Note: Any credit that is more than the tax liability may not be carried back or forward.
There is no form for this credit. Keep all related documents with your records.