The credit that covers summer camp
The Child and Dependent Care Credit isn’t summer-specific. It’s a general credit for care that lets you or your spouse work, look for work, or attend school full time. Summer day camp qualifies under the same rules as after-school care or daycare, since the IRS treats it as work-related care rather than education.
Note: The Child and Dependent Care Credit isn’t the same as the Child Tax Credit, which is tied to having a qualifying child regardless of care costs. Find out if you qualify for either of these credits.
Day camp vs. overnight camp: what qualifies
| Camp type | Qualifies? | Why |
|---|---|---|
| Day camp (general, sports, STEM, arts) | Yes | Provides daytime care so you can work; type of camp doesn’t matter |
| Overnight or sleepaway camp | No | Not treated as work-related, regardless of cost |
| After-school care or daycare | Yes | Provides daytime care so you can work |
| Summer school or academic tutoring | No | Treated as education, not care, even during the workday |
Source: Internal Revenue Service
Note: Specialty day camps, like sports, STEM, arts, or academics, qualify the same as a general day camp, even if they’re pricier.
How much you can claim
Starting with 2026, the applicable percentage rises to a max of 50%, up from 35% previously. It depends on your adjusted gross income (AGI): highest for lower incomes, stepping down to 20% for higher earners.
| AGI level | Approximate applicable percentage |
|---|---|
| Lower incomes | Up to 50% |
| Middle incomes | Between 50% and 20%, sliding down as AGI rises |
| Higher incomes | 20% |
Say you spend $4,000 on day camp for one child and your AGI qualifies you for the new 50% top rate.
50% × $3,000 (expense cap) = $1,500
The credit isn’t worth 50% of the full $4,000 spent.
Who qualifies: work, income, and age rules
- Your child must be under 13 for the time care was provided, or a dependent of any age who can’t care for themselves.
- You, and your spouse if filing jointly, must have earned income, or be a full-time student or unable to care for yourself.
- The care must let you work or look for work, not just free up your evening.
- You need the provider’s name, address, and taxpayer ID number.
- The provider can’t be your dependent, your child (even if they aren’t your dependent), your spouse, or the parent of the qualifying child.
How to claim it: Form 2441
You claim the credit on Form 2441, attached to your Form 1040. Get your camp’s employer identification number (EIN) or the provider’s Social Security number before you file. Add up what you paid for qualifying care, apply the caps and your applicable percentage, and the credit reduces your tax bill dollar for dollar.
Credit vs. dependent care FSA
If your employer offers a dependent care FSA, you can set aside up to $7,500 pretax for care starting in 2026 (up from $5,000 previously), but not the same dollars for both the FSA and the credit. A common approach: run the first $7,500 through the FSA, then claim the credit for additional costs up to the caps.
