Kentucky Child and Dependent Care Credit

Child and Dependent Care Credit
Form 2441-K
FORM

2441-K

KENTUCKY
CHILD AND DEPENDENT CARE CREDIT
  Enclose with Form 740 or 740-NP

Commonwealth of Kentucky
Department of Revenue

Enter name(s) as shown on Form 740 or 740-NP, page 1.	

2021

Your Social Security Number	

Part I—Persons or Organizations Who Provided the Care—You must complete this part. (See federal instructions for Form 2441
if you have more than two care providers.) You must attach the federal Form 2441.
1 (a)	 Care provider’s
name

(b) Address
(number, street, apt. no., city, state, and ZIP code)

Did you receive
dependent care benefits?

No
Yes

(c)
Identifying number
(SSN or EIN)

(d)
Amount Paid
(see instructions)

 Complete only Part II below
 Complete Part III on next page

Part II—Credit for Child and Dependent Care Expenses
2	 Information about your qualifying person(s). If you have more than two qualifying persons, see federal instructions for Form 2441.
(a)
Qualifying person’s name
	First	
Last

(b)
Qualifying person’s social
security number

(c) Qualified expenses you
incurred and paid in 2021 for
the person listed in column (a)

3	
	
	

Add the amounts in column (c) of line 2. Don’t enter more than $3,000 for one qualifying
person or $6,000 for two or more persons. If you completed Part III, enter the amount from
line 32................................................................................................................................................... 	3

4	

Enter your earned income from federal Form 2441, line 4 or line 18............................................. 	4

5	

Enter amount from federal Form 2441, line 5 or line 19.................................................................. 	5

6	

Enter the smallest of line 3, 4, or 5.................................................................................................... 	6

7	

Enter amount from federal 1040, 1040-SR, or 1040-NR, line 11..........	7

8	

Enter on line 8 the decimal amount shown below that applies to the amount on line 7.

	
If Line 7 is:	
If Line 7 is:
			But not	 Decimal			But not	 Decimal	
	
Over		over	
amount is	
Over		over	
amount is
	
$0	—	15,000	
.35	
$29,000	—	31,000	
.27
	
15,000	—	17,000	
.34	
31,000	—	33,000	
.26
	
17,000	—	19,000	
.33	
33,000	—	35,000	
.25
	
19,000	—	21,000	
.32	
35,000	—	37,000	
.24
	
.31	
37,000	—	39,000	
.23
		21,000	—	23,000	
	
23,000	—	25,000	
.30	
39,000	—	41,000	
.22
	
25,000	—	27,000	
.29	
41,000	—	43,000	
.21
	
27,000	—	29,000	
.28	
43,000	—	No limit	.20

8	
X.

9(a)	 Multiply line 6 by the decimal amount on Line 8............................................................................. 	9a
9(b)	 If you paid 2020 expenses in 2021, see instructions........................................................................ 	9b
9(c)	 Add lines 9(a) and 9(b)........................................................................................................................ 	9c
10	

Tax liability limit. Enter amount from the Credit Limit Worksheet (see instructions).................... 	10

11	

Enter the smaller of line 9(c) or line 10.............................................................................................. 	11

12	 Multiply line 11 by 20 percent (.20). 740 Filers: Enter here and on Form 740, line 24. This is
	your Child and Dependent Care Credit. 740-NP Filers: Enter here and on line 4 of the
	
Child and Dependent Care Credit Worksheet for Part-Year Residents in the instructions............ 	12

210051 42A2441-K (10-21)	

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FORM 2441-K (2021)

Part III—Dependent Care Benefits
13	

Enter amount from federal Form 2441, line 12................................................................................. 	13

14	

Enter amount from federal Form 2441, line 13................................................................................. 	14

15	

Enter amount from federal Form 2441, line 14................................................................................. 	15	 (	

16	

Combine lines 13 through 15. (See instructions)............................................................................ 	16

17	

Enter the total amount of qualified expenses incurred in 2021

	

for the care of the qualifying person(s), enter from federal

	

Form 2441, line 16..................................................................................	17

18	

Enter the smaller of line 16 or 17..........................................................	18

19	

Enter your earned income from federal Form 2441, line 18...............	19

20	

Enter amount from federal Form 2441, line 19....................................	20

21	

Enter the smallest of line 18, 19 or 20..................................................	21

22	

Enter $5,000 ($2,500 if married filing separately and you were

	

required to enter your spouse’s earned income on line 19 of

	

federal Form 2441).................................................................................	22

23	

Is any amount on line 13 from your sole proprietorship .or partnership?

	
	

  No. enter -0-.
  Yes. Enter the amount here....................................................................................................... 	23

24	

Subtract line 23 from line 16.................................................................	24

25	

Kentucky Deductible Benefits. Enter the smallest of line 21, 22 and 23........................................ 	25

26	

Excluded Benefits. If you check “No” on line 23, enter the smaller of line 21 or 22.

	

Otherwise, subtract line 25 from the smaller of line 21 or line 22. If zero or less enter -0-.......... 	26

27	

Kentucky Taxable Benefits. Subtract line 26 from line 24. If zero or less enter -0-....................... 	27

To claim the child and dependent care credit, complete lines 28 through 32
28	

Enter $3,000 ($6,000 if two or more qualifying persons)................................................................ 	28

29	

Add lines 25 and 26............................................................................................................................. 	29

30	

Subtract line 29 from line 28. If zero or less, you can’t take the credit. Continue to Part IV.

	

Exception. If you paid 2020 expenses in 2021, see instructions for line 9(b)................................. 	30

31	

Complete line 2 on the front of this form. Don’t include in column (c) any benefits

	

shown on line 29 above. Then, add the amounts in column (c) and enter the total here............. 	31

32	

Enter the smaller of line 30 or 31. Also, enter this amount on line 3 on the front of this

	

form. Continue to Part IV.................................................................................................................... 	32

Part IV—Kentucky and Federal Differences
33	

Kentucky Deductible Benefits. Enter from Kentucky Form 2441-K, line 25................................... 	33

34	

Federal Deductible Benefits. Enter from federal Form 2441, line 24.............................................. 	34

35	

Enter the difference of lines 33 and 34 here and on appropriate line on Schedule M

	(740-NP filers see instructions).......................................................................................................... 	35
36	

Kentucky Taxable Benefits. Enter from Kentucky Form 2441-K, line 27.......................................... 	36

37	

Federal Taxable Benefits. Enter from federal Form 2441, line 26.................................................... 	37

38	

Enter the difference of lines 36 and 37 here and on appropriate line on Schedule M

	(740-NP filers see instructions). If you entered an amount on line 32 enter that amount on
	

line 3 on the front of this form and complete lines 4 through 12................................................... 	38

210052 42A2441-K (10-21)	

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)

Form 2441-K
(2021)

INSTRUCTIONS FOR FORM 2441-K

Page 3 of 4

Purpose of Form—To calculate and claim 2021 Kentucky
Child and Dependent Care Credit. This form may also
be used to calculate additions or subtractions to taxable
income due to Kentucky and Federal differences. You must
attach completed federal Form 2441.

Line 10—Credit Limit Worksheet

Note: Kentucky does not conform to Section 9631 of
the federal American Rescue Plan (ARP) of 2021, which
enhanced the federal child and dependent care credit.
The ARP increased the amount of child and dependent
care credit, made the credit refundable, increased the
percentages of employment-related expenses for qualifying
care considered in calculating the credit, and modified the
phase-out of the credit for higher income earners. Since
Kentucky conforms to the Internal Revenue Code as of
December 31, 2018, Kentucky did not adopt these federal
changes. A new Form 2441-K was created to calculate the
allowable Kentucky child and dependent care credit. If you
do not meet the filing requirements to file a federal income
tax return but would have been entitled to the federal child
and dependent care credit, you may claim the child and
dependent care credit for Kentucky purposes. Complete and
enclose federal Form 2441, state on the form “did not meet
federal filing requirements” and complete Form 2441-K to
determine Kentucky child and dependent care credit.

1)	 Enter the amount from Form 1040,
	
1040-SR, or 1040-NR, line 18 ............. 	 ________________

Caution: You cannot claim a credit for child and dependent
care benefits if your filing status is married filing separate
returns unless you meet the federal requirements listed
in the federal instructions. If you checked the box on the
federal Form 2441, then you can complete Form 2441-K.

Child and Dependent Care Credit Worksheet for Part-year
Residents

Parts I, II and III—Use federal Form 2441 and instructions
to complete Kentucky Form 2441-K, while taking into
consideration that Kentucky does NOT conform to the
changes made in the American Rescue Plan that increased
the amount of child and dependent care credit, made
the credit refundable, increased the precentages of
employment‑related expenses for qualifying care considered
in calculating the credit, and modified the phase-out of the
credit for higher income earners. Use federal definitions for
qualifying person(s), qualified expenses, and dependent
care benefits when completing Form 2441‑K.
Lines 4 and 5—If you did not complete Part II of federal Form
2441 use the amounts from federal Form 2441 on lines 18
and 19 for Part II of Form 2441-K.
Line 9(b)—Credit for Prior Year’s Expenses—If you had
qualified expenses for 2020 that you didn’t pay until
2021, you may be able to increase the amount of credit
you can take in 2021. To figure the credit, see Worksheet A
(Worksheet for 2020 Expenses Paid in 2021), in federal Form
2441 instructions. Enter on line 9(b) the amount from line 13
of Worksheet A.

Complete this worksheet to figure the amount to enter on
2441-K, line 10.

2)	 Enter the amount from Schedule 3
	
(Form 1040), line 1............................... 	 ________________
3)	
	
	
	

Subtract line 2 from line 1. Also
enter this amount on Form 2441-K,
line 10. But if zero or less, stop;
you cannot take the credit.................. 	 ________________

Part-year Residents
Part-year residents may be entitled to a credit for child and
dependent care expenses paid while a resident of Kentucky.
To determine this credit, complete the Child and Dependent
Care Credit Worksheet for Part-year Residents. Full-year
nonresidents are not entitled to this credit.

1)	 Enter total child and dependent care
	
expenses entered on Form 2441-K,
	
line 2(c)................................................. 	 ________________
2)	 Enter the amount paid while a
	
Kentucky resident................................ 	 ________________
3)	 Divide line 2 by line 1. Enter result..... 	 ____   .  ____  ____
4)	 Enter the amount from Form 2441-K,
	
line 12................................................... 	 ________________
5)	 Multiply the line 4 by line 3.
	
Enter here and on Form 740-NP,
	
line 24................................................... 	 ________________
For part-year residents, if you and your spouse are filing
separate Kentucky returns, the child and dependent care
credit calculated for Kentucky must be divided based on the
percentage of each spouse’s adjusted gross income to total
Kentucky adjusted gross income (line 9).
Line 16—Add the amounts on lines 13 and 14 and subtract
from that total the amount on line 15. Enter the result on
line 16.

Page 4 of 4

Line 25—This is your Kentucky deductible benefits. You
may have differences in Kentucky deductible benefits and
federal taxable benefits. Federal deductible benefits are
included on Schedule C (Form 1040), line 14; Schedule E
(Form 1040), line 19 or line 28; or Schedule F (Form 1040),
line 15 which ever applies. You should complete Part IV
to determine if there are differences in the Kentucky and
federal deductible benefits and follow instructions for line
35 for reporting requirements.
Line 27—This is your Kentucky taxable benefits. You may
have differences in Kentucky deductible benefits and
federal taxable benefits. If line 27 is more than zero, you
have taxable dependent care benefits. Federal taxable
benefits are included in the total on Form 1040 or 1040-SR,
line 1; or Form 1040-NR, line 1a, which ever applies. You
should complete Part IV to determine if there are differences
in the Kentucky and federal taxable benefits and follow
instructions for line 38 for reporting requirements.

Part IV—Kentucky and Federal Differences—Complete
lines 33 through 38 if there are differences in the amounts
reported for Kentucky and federal deductible benefits and
Kentucky and federal taxable benefits.
Line 35—If Kentucky deductible benefits exceed federal
deductible benefits, enter the difference on Kentucky
Schedule M, line 14 and enter “Kentucky deductible
benefits” on the line. If Kentucky deductible benefits are
less than federal deductible benefits, enter as an addition
on Kentucky Schedule M, line 5. For 740–NP filers use the
Kentucky deductible benefits from line 33 when calculating
Kentucky amounts on 740-NP, page 4, Column B.
Line 38—If Kentucky taxable benefits exceed federal taxable
benefits, enter the difference on Kentucky Schedule M, line 5
and enter “DCB” on the line. If Kentucky taxable benefits are
less than Federal taxable benefits, enter the difference as
a subtraction on Kentucky Schedule M, line 14. For 740‑NP
filers include the Kentucky taxable benefits from line 36 in
Kentucky wages on 740-NP, page 4, Column B.