Aaron and Erin Douglas have four children; aged 2, 5, 9 and 12. The 9 year old has a cognitive disability significant enough to qualify for the disability tax credit. The other three children are in good mental and physical health. In 2020 Aaron had net employment income of $46,500. $4,500 in deductions were claimed against his employment income. Erin had net business income of $68,000, after deducting expenses of $20,000. During the year the Douglas Family spent $38,000 on a full time nanny. The 12 year old spent 3 weeks at summer camp at a total cost of $1,200. Aaron spent six weeks in the hospital following a skiing accident. Determine the maximum deduction for child care and indicate who should claim them.

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Aaron had net employment income 46500 Deductions 4500 Tax... View the full answer