Short answer: Yes, but not for the same expenses. Any child or dependent care costs reimbursed through a Dependent Care Account must be excluded from the expenses you claim for the tax credit.
You are allowed to use both a Dependent Care Account (DCA) and the Child and Dependent Care Tax Credit in the same tax year, but you cannot “double dip” by using the same dollars for both.
Any expenses paid or reimbursed through your DCA must be subtracted from your total eligible care expenses before calculating the tax credit. Only unreimbursed expenses can be used to claim the credit.
For example, if you incur $8,000 in qualifying child care expenses and are reimbursed $5,000 through a DCA, only the remaining $3,000 can be applied toward the tax credit.
Which option provides more savings depends on your income, tax bracket, and total care costs. In some cases, using only a DCA is more beneficial, while in others a combination of a DCA and the tax credit results in the greatest overall tax benefit.
Sources
- IRS, Child and Dependent Care Credit FAQs – Interaction with Dependent Care Benefits: https://www.irs.gov/faqs/credits-deductions/individuals/child-and-dependent-care-credit
- IRS, Publication 503 – Child and Dependent Care Expenses (Coordination with dependent care benefits): https://www.irs.gov/publications/p503
Content history
Originally published: June 16, 2025
Last reviewed: January 26, 2026