Ross and Jessica are married and have one child who is two years old. Ross is a recent college graduate and works as a software engineer. Jessica is a full-time student at Hendrick College, and attends classes in the Fall and Spring semesters. Ross earns $32,000 during the year and the couple incurred $2,200 in child-care expenses so that Jessica could attend class.

REQUIRED:

Determine the income tax treatment of the child-care expenses. Search a tax research database and find the relevant authority(ies) that forms the basis for your answer. Your answer should include the exact text of the authority(ies) and an explanation of the application of the authority to Ross and Jessica’s facts. If there is any uncertainty about the validity of your answer, indicate the cause for the uncertainty.