If you have to work abroad you may be able to claim tax credits, just as if you were living in the UK. If your partner is a Crown Servant who has been posted abroad by his or her employer, for example they are in the Armed Forces, you should continue to make a joint claim to tax credits.
Do you qualify for Child Tax Credit if you live abroad?
Yes, expats are also able to claim this credit for a qualifying child or dependent. The normal child care tax credit requirements apply even if you’re abroad. You might qualify for a credit for the child care expenses paid to a foreign care provider so that you (and your spouse) can work or look for work.
Can a spouse claim the child care tax credit?
Payments for care cannot go to your spouse, the parent of your qualifying person or to someone you can claim as a dependent on your return. Payments can also not go to your child who is under age 19, even if the child is not your dependent. This credit can be worth up to 35 percent of your qualifying costs for care, depending upon your income.
Can You claim the child tax credit while living abroad?
Normally, you could claim both the nonrefundable and refundable portions of the child tax credit. However, while living abroad, your eligibility can differ: You’re not able to claim the refundable portion if you also claim the foreign earned income exclusion. This means the child tax credit by itself will not lead to a refund on your return.
How does the child and dependent care tax credit work?
The Child and Dependent Care Credit can help offset some of the costs you pay for the care of your child, a dependent or a spouse.
Can You claim TCJA credit for non child dependents?
The TCJA does, however, allow a new type of credit—a $500 nonrefundable credit for dependents who do not qualify for the child tax credit. Taxpayers can claim this credit for children who are too old for the child tax credit, as well as for non-child dependents.
