Married Filing Separate Returns

You may take the child care credit or exclude from taxable income child-care costs paid with funds from a reimbursement account if ALL of these tests are met.

• You lived apart from your spouse during the last 6 months of 2006.
• The eligible child lived in your home more than half of 2006.
• You provided over half the cost of keeping up your home.

If you do not meet all these tests, you may still take the exclusion but are ineligible for the credit.