Some states allow LLC members to transfer real property to an LLC to receive a tax exemption. A new LLC can purchase real property and use the real estate portfolio to bolster its financial profile and add to its value.
The child and dependent care tax credit is a percentage of your day care expenses up to $3,000 for one dependent or $6,000 for two or more dependents. That's not the amount of your credit. It's the amount of day care expenses you can apply the percentage to.
The child and dependent care tax credit provides a credit worth between 20 percent and 35 percent of child care costs up to $3,000 for a child under age 13. The credit is income based and is reduced for people with higher incomes. Eligible child care expenses are limited to $6,000 per family. About 12.1 percent of families with children benefited from the child and dependent care tax credit last year, according to estimates by Urban-Brookings Tax Policy Center. Employees also can set aside up to $5,000 per year of their salary, regardless of the number of children, in an employer-provided flexible spending account to pay child-care expenses.