Which of the following expenses typically qualifies for a Child Care Credit?

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The expenses that typically qualify for the Child Care Credit are those directly related to the care of a dependent child while the taxpayer is working or looking for work. Costs of daycare while the taxpayer works is a prime example of this type of qualifying expense. This credit is intended to alleviate some of the financial burden associated with childcare, allowing parents to pursue employment while ensuring their children are cared for.

Childcare expenses specifically must enable the parent to work or seek employment, making daycare services a central focus of the credit. In contrast, after-school sports, clothing expenses, and medical expenses do not meet the criteria for the Child Care Credit. After-school sports may be beneficial for children but do not pertain directly to childcare necessary for working parents. Clothing expenses are generally considered personal rather than childcare-related, and medical expenses, while essential, do not qualify under the Child Care Credit guidelines.

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